Homeowners at risk of default often do not consider bankruptcy an option. They fear the repercussions on their credit history. Over time, you may actually improve your credit report by stripping debts and making timely payments according to a practical reorganization plan.
LA Legal Law Firm can help you understand the possibilities of life after bankruptcy. Instead of late or partial payments, or payments being skipped entirely, bankruptcy can offer a debt restructuring to fit your current means.
Bankruptcy and Your Credit Record
It’s important to understand the damage you may be doing to your credit by avoiding bankruptcy. Sometimes a fresh start is exactly what’s needed. The worst day of your score is the day you decide to file. Immediately after filing your credit will begin to rebuild. But there are also benefits that allow you access to credit in a short amount of time.