Increasing your Credit Score After Bankruptcy
Over the years we have found that there are actually two parts to the completion of your fresh start. The first is to file Bankruptcy which enables your debts to be forgiven. The second is to repair your credit. The filing and Discharge of your bankruptcy will ensure that Creditors will not collect from you anymore. However, they are not required by law to report accurately on your credit report unless asked to do so. Any lender in the future that pulls your credit bureau may see inaccurate information that could end up costing you thousands of dollars in interest or may even cause you to be denied credit. Please refer to our chart below to see an example of how credit repair can save you costly monies in interest.
Benefits of Credit Repair:
With credit repair your Beacon score can increase dramatically. For example, if your Beacon score is 600 without credit repair and your score increases to 650 after credit repair, your savings with credit repair on a $200,000 mortgage would be approximately (2) two percentage points (8% versus 10%). You would save approximately $103,541.04 in interest and your monthly mortgage payment would be $287.61 less. Don’t deny yourself good credit after bankruptcy. If you wish to increase your credit score please contact Morgan DiGiorgio at 800-407-3328 so that she can further explain how we can help you repair your credit and increase your credit score.
Credit Repair and Alternatives to Bankruptcy
There are alternatives to bankruptcy such as creditor and debt settlements. Our firm can assist you in settling debts for pennies on the dollar and possibly the negotiation of deleting the derogatory information from your credit files upon settlement. Repairing your credit while increasing your credit score may save you a significant amount of money in interest, a more favorable credit history, and better odds of obtaining prime loan terms. Call our office at 800-407-3328 for a free telephone consultation regarding any derogatory, negative, or inaccurate items you may have on your credit report to learn how we can help.
Does Credit Repair Work? Much like debt settlement, credit repair services offer a mixed result of legitimate credit repair groups and others who are best characterized as charlatans. Some credit repair companies promise to erase bad credit with a 100% guarantee or remove past bankruptcies, judgments or liens. While it is true that in certain cases, past judgements or bankruptcies may be remove from a credit report, to make such a guarantee is irresponsible and dishonest. Credit repair is an effort that one may take on his own. If a bankruptcy is eligible to be removed from a credit report, the credit reporting agency or agencies will typically remove such a remark, upon proper documentation or approach, regardless of whether a credit repair company or the individual himself makes such efforts to have the remark removed. The benefit of a credit repair group or representative that is both honest and knowledgeable is that he or she can, through special knowledge, achieve a result better than the uninitiated individual. One may be capable of repairing his own automobile, but a trained mechanic may have special knowledge to make the engine run at its optimal capability. An honest credit repair counselor will reveal to a client or consumer immediately as to whether certain remarks can be removed or improved on a credit report. The current rule is that to remove a bankruptcy from a credit report, the bankruptcy must be at least ten years old. To remove a bad remark on a credit report, the remark typically must be over seven years old. These are mostly established rules with clear guidelines as to when a remark may be removed. Mr. Weller can tell you immediately what can be improved or repaired on a credit report. Also, Weller Legal Group wants its clients to understand that each individual has the right and probably the capability to improve his credit report without any representation. There is reputable information available on the internet that explain the concepts, rules, and dynamics of credit repair and credit reports. Each consumer is entitled to a free credit report if his or her credit application is denied, if such request is made within thirty days of the denial. There are other website that offer essentially free and very good credit reports. Any consumer has the right to contest incorrect or outdated remarks on his credit report. The reason one may hire Weller Legal Group or Jay Weller is based upon the concept that I do not want, have the time available, desire, or otherwise to repair my own automobile, and this experienced and trained mechanic probably knows information that will allow my automobile to run better or more efficiently than if I attempted such repairs myself.
A credit repair lawyer can dispute information that is inaccurate or outdated. Our services include analyzing your Credit Report, determining what information can be disputed, and taking the necessary measures to have that information corrected on your Credit Report. We will also advise you on the various measures necessary to improve your Credit Rating, such as obtaining pre-paid or secured credit cards, and secured bank loans. Credit repair can be a long and tedious process but it is worth the effort. The Federal Fair Credit Reporting Act (FCRA) governs Credit Reporting Agencies and is intended to provide accuracy, fairness, and privacy of information that is contained in Credit Reports. The Credit Reporting Agencies collect information on Consumers, such as whether they filed Bankruptcy, pay their bills timely or late, from landlords, businesses, employers, and other creditors. There are three large Credit Reporting Agencies, Equifax, Experian and Trans-Union.
Credit Repair is a program wherein Julian Credit Management, a sister corporation Jay Weller formed in 1998, can help persons who wish to repair or improve their credit rating. In the United States, there are three credit reporting agencies: Equifax; TransUnion; and Experian. If you have a credit card, mortgage, automobile loan, medical bills, or most other types of Debt or credit, it is likely these matters were reported to one or all of the credit reporting agencies. Credit Repair is helpful because many creditors will report one account numerous times on a credit report, which has a bad effect on one’s credit score. Credit Repair will remove the duplicate reports on the credit report. Credit Repair can also remove any remarks on the credit report that are inaccurate, untimely, misleading or unverifiable. Many of our clients who file Bankruptcy are interested in repairing and reestablishing their credit after the Bankruptcy is completed. For our clients who have filed Bankruptcy, I suggest that they return to our office after they receive a Discharge in a Chapter 7 Bankruptcy or after their case in Confirmed in a Chapter 13 Bankruptcy. We will assist the debtor in getting his credit report from all three credit reporting agencies. Many of the debts that were included in the Bankruptcy may not designate that these debts were Discharged in the Bankruptcy. Credit Repair involves taking measures to correct the information on the credit report so that the report reflects that all the debts of the debtor are listed as included and Discharged by the Bankruptcy. Taking these measures is akin to placing a bandage on a wound in order for the wound to heal. After ten (10) years, the Bankruptcy should no longer be listed on the debtor’s credit report. The credit reporting agencies, however, do not usually take proactive steps to remove the Bankruptcy from the credit report. Through credit repair, the Bankruptcy can be removed from the credit report. After we have taken the measures to repair the credit, we will pull another credit report and review the report together to ensure that remarks on the credit report, have been corrected. If those remarks have not been corrected, we will take additional measures to correct those remarks on the credit report. Many of our clients report that the Credit Repair program increases their credit fifty (50) to one hundred (100) points or more.