Are you a business owner who experienced bankruptcy? You shouldn’t allow bankruptcy to ruin your passion and goal to become a successful entrepreneur. You need to make sure that you are rising back even stronger. However, it will not be an easy job that you can do on your own. You will need to seek the assistance of an expert to overcome the frustrating situations that you may have to face when you are rising again. That’s where a finance lawyer will be able to assist you with.
After bankruptcy, you will have to go through a variety of negative consequences associated with finances. That’s because bankruptcy hurts your credit score and the overall financial health. Therefore, it is important for you to have a clear understanding on how to overcome these consequences.
Did you come across the need to obtain a loan after you filed for bankruptcy? You might think that it is not something possible to do, but the facts don’t say that. You just need to follow and appropriate plan and make sure that you make yourself eligible to receive the bank loans.
Here are the steps that you must follow in order to quality for bank loans after bankruptcy. These tips can help any person to qualify for bank loans and you will be able to follow them without keeping any doubts or second thoughts in mind.
Take a look at the credit reports
The first thing you must do is to go ahead and take a look at the credit reports. Then you will be able to see how to start rebuilding your credit. In order to get started with the rebuilding process, you need to make sure that your case of bankruptcy has been reported to the major credit bureaus in an appropriate manner. You can get the credit reports and make sure that all your bankruptcy related accounts are labelled accordingly and discharged. It is possible for you to get your credit report without making a payment for one time per year. In case if you don’t see that bankruptcy has been filed in the credit reports accordingly, you need to get in touch with the credit bureaus and inform them about it accordingly.
Use a credit card wisely
A variety of methods available for you to rebuild your credit after a bankruptcy. Using a credit card holds a prominent place out of them. However, you need to make sure that you are using the credit card wisely. This can provide an excellent assistance for you to rebuild your credit in the long run. You need to make the payments of the credit card on a timely manner and you will be able to see how your credit score is improving along with time. However, obtaining a credit card after a bankruptcy will be quite difficult. That’s where you can get the assistance of a family member or a friend to co-sign with you on a credit card.
Open up a loan to rebuild
Some of the loan types are also in a position to provide an excellent assistance for you to rebuild your credit. You need to take a look at the banks and credit unions, which can help you with obtaining a credit builder loan. Then you will be able to get a small amount of money to rebuild your credit. When you continue to make the repayments for this loan on a timely manner, you will be able to see how your credit score is improving. Therefore, you will be able to make yourself eligible to receive loans in the future. Your finance lawyer will be able to provide you with all the information on how to rebuild. All you have to do is to stick to the instructions that are provided to you by the legal expert and make sure that you receive positive results. Then you will be able to make your life smooth when going forward with rebuilding your business.
Create a positive payment history
It is extremely important for you to focus on creating a positive payment history. Payment history can be considered as the most important contributor towards the credit score. Therefore, you should always make your payments in a timely manner. Then you will find it as an easy task to rebuild your credit after a bankruptcy. This is applicable for the utilities, loans, credit cards and the other types of debts that you obtain.
Never move too fast
Last but not least, you are encouraged to refrain from moving too fast. When you spend a couple of months trying hard to rebuild your credit, you will be able to start shopping for loans. But you are encouraged not to rush the things. Instead, you can take a slow path when obtaining the loans and you will be able to experience a large number of benefits. This will be one of the most prominent lessons provided by the finance lawyer as well. It is better if you can let your lawyer understand the progress that you are going through on a regular basis. Then you can figure out whether you are proceeding at a safer pace or not.
For example, you should not apply for several lines of credit at a given time. If you do, there will be multiple inquiries tagged under your name. This can create a negative impact on your credit score. On the other hand, you shouldn’t have too many applications with potential lenders as well.
You will be able to build up a decent credit score along with time by following the above-mentioned tips. You are encouraged to focus on them and move up slowly. Then you will be able to apply for a loan and you will be able to get that accepted. Maintaining patience at the time of rebuilding your credit after bankruptcy can be considered as one of the best investments that you can do in order to ensure a hassle free future.
Hire the most experienced finance lawyer
As you can see, a finance lawyer will be able to deliver numerous benefits to you in the long run. Therefore, you need to make sure that you are hiring the most experienced and the most reputed lawyer. It is one of the best investments that you can make. The investment you make can deliver amazing results to you with rebuilding your business after bankruptcy.