How to Remove a Bankruptcy from Your Credit Report

Bankruptcy On Your Credit Report

When you’re daily life is seriously affected by your debt you may be a candidate for filing for bankruptcy. If you are facing foreclosure, wage garnishment, or your car is being repossessed it might help you to financially survive. Filing will prevent foreclosure from going forward and your car being taken away. It is a way to escape overwhelming credit card debt. This is all accomplished through a discharge of the debt or through a restructuring of the debt depending on your situation. However, a bankruptcy on your credit report is a serious matter.

Bankruptcy Law Can Vary from State to State

Bankruptcy laws differ from state to state. The American Bankruptcy Institute says that filing could be an option if you have had your wages garnished or bank accounts frozen after judgments, if you have most of your debts in unsecured loans, or if you have debt collection agencies calling you at home or work. They also say you might consider filing if you have lawsuits filed against you.

To be eligible to file for bankruptcy you will have to obtain a certificate of successful completion of credit counseling with a government approved counseling agency. You must take this counseling to be eligible to file for the financial protection it provides.

Something you may also want to consider is getting an attorney. The bankruptcy laws have changed and are so complex that experts agree you should not attempt to file on your own. It’s a very risky process and your future depends on the outcome. You should seek out an attorney that sees bankruptcy as a solution to your financial dilemma.

When you do file, contrary to what you might have heard, not all debt is erased away. Debts such as spousal and child support, student loans, and some taxes will not be discharged. But by the same token certain assets are protected to some extent. For example, Social Security payments, unemployment compensation, and limited values of your equity in a home, car, or truck, household goods and appliances, trade tools, and books are usually protected.

You will have to give up and what you are allowed to keep depends on your state laws and the type of bankruptcy you file. If you are in bad financial shape and own only exempt property such as clothes, household goods, or an older car, you will probably not have to surrender your property.

First Steps Once You Have Filed for Bankruptcy

One of the most important things you should do immediately after you file is inform all of your debt collectors and creditors that you have filed bankruptcy. The law requires that all debt collection calls, letters and efforts to reach debtors cease once a bankruptcy petition is successfully filed in court. You should immediately write your collectors with the name of the attorney handling the case, and let them know your city and state you are filing in. This will stop the stress of collection and letters.

Rebuilding Your Credit After Bankruptcy

You will need to rebuild your credit after bankruptcy, to do this you must deal with the negative aspect it will put on your credit reports. TransUnion.com says “Chapter 7, 11, and 13 bankruptcies appear as credit report judgments on your credit report for 10 years after filing. Chapter 13 records are sometimes taken off after 7 years, depending on the credit reporting agency policy. When you file for bankruptcy, accounts included should be marked as “Included in BK” and stay on your report 7 years.”

You will need to get a copy of your credit reports from each of the three major credit reporting agencies: Equifax, Experian, and TransUnion, and check them for accuracy. Each account included in your filing should be listed as “charged off” or as “included in bankruptcy.” All of your debts that were discharged in your bankruptcy should list a zero balance. You should dispute any that are listed incorrectly. This will start you toward regaining your credit.

Bankruptcy is not an option to lightly pursue. There will be credit classes, visits with lawyers, and the task of rebuilding your credit. Check with a reputable credit counseling agency before you seek the help of a bankruptcy attorney to be sure it is the right solution for you.

A bankruptcy can remain on your credit report for 10 years and be devastating to your credit scores. However, contrary to popular belief, you can still get credit after bankruptcy. You do NOT have to wait up to 10 years before being able to get a mortgage, car loan or any other type of credit again.

Read my story below (and check out the images for proof) to see how you can remove a bankruptcy from your credit report.

How I Got Bad Credit

A few years ago the company I worked for went under. I had a hard time finding a new job with our unstable economy and the bills kept piling up. It got to the point that I was no longer able to make my payments, not even the minimums. All of my credit card accounts were charged-off and sent to collection agencies.

My life became a nightmare of collection calls and endless harassment from debt collectors. It was a tough decision for me, but I Decided to file bankruptcy. Although the bankruptcy had relieved me of the debt, the damage to my credit was already done.

How I Bounced Back

It’s not what happens to you, but how you react to it that matters. – Epictetus

I knew I had to do something about my credit. I wasn’t just going to sit there and wait for 7 to 10 years until the bad credit fell off of my report. I tried to apply for new loans to show them that I was credit worthy, but every single bank denied me. Getting turned down for loans over and over was frustrating and embarrassing.

A friend told me about Lexington Law Firm and was ranting and raving about how awesome they were. I was skeptical at first, but after seeing what they did for him, I knew I had to give them a try.

Lexington Law Changed My Life

With one simple call to the 1-800 number (800-220-0084) listed on their website, I was connected to a credit expert who was very friendly and understanding of my situation. She was also exceptionally knowledgeable. So, I decided to sign up and I’m so glad I did! After about 3 weeks, I started receiving letters from the credit bureaus informing me that negative accounts had been removed from my credit reports! (See below.)

Bankruptcy Removed from My Equifax Credit Report:

Bankruptcy Removed from My TransUnion Credit Report:

I can’t even begin to tell you how thankful I am that I found Lexington Law. I was finally able to purchase my first home and my financial life has been secure ever since. With the negative accounts off of my credit report, my credit scores have improved significantly. Here’s a picture of my credit scores:

Click Here to Start Repairing Your Credit Right Now!

What Other Clients Are Saying

You can read hundreds of client testimonials and even watch some very inspirational client video testimonials here.

If you’re sick of having bad credit, let the professionals at Lexington Law Firm take care of it for you. They can delete all kinds of negative items from your credit reports, including: bankruptcies, foreclosures, repossessions, charge offs, judgments, tax liens, collections, late payments and more.

Discount for Couples

Lexington Law is now offering $50 off the initial fee when you and your spouse sign up together. The discount will be applied after the second sign-up is complete.

Remove Your Bankruptcy Now!

If you’re sick of having bad credit, let the professionals at Lexington Law Firm take care of it for you. They can delete all kinds of negative items from your credit reports, including: bankruptcies, foreclosures, repossessions, charge offs, judgments, tax liens, collections, late payments and more.

Click Here to Visit Lexington Law Now!

Call 1-800-220-0084 for a free consultation and a complimentary credit score or fill out the form below and a representative will call you shortly!