Are you considering filing a personal bankruptcy petition but are reluctant or hesitant to do so because you do not quite know how it could affect you in the long run? Talk to your Ohio bankruptcy lawyer about your long term financial quality of life after a personal bankruptcy is discharged.
Everyone should know that a clean financial slate does not come without a hefty price. While you must carry the baggage of having filed for personal bankruptcy for nearly 10 years after your discharge date, you do not have to carry the debt you accrued, at least not with a chapter 7 bankruptcy filing.
Your bankruptcy attorney from Cleveland may warn you that it will be more difficult to acquire credit following a discharged bankruptcy. While it might be difficult, this does not mean that it is impossible as long as you are flexible and compromising in your quest to obtain credit. The creditor may ask you to secure your debt in some way, usually by putting down a large deposit. This deposit is used as collateral to ensure payment in case you default on the loan or payment. The debt may also extend a small amount of credit to allow you the opportunity to prove your renewed commitment to paying your bills. The lender may also levy a higher interest rate at the start of a post bankruptcy relationship.
It is important to make gradual steps back into the credit world. You do not want to bite off more than you can chew. Your Cleveland bankruptcy lawyer may educate you on the basic or most common lending philosophy. Most lenders want to evaluate your ability, stability, and willingness to pay. Although your credit history represents a large part of the equation, longevity on your job and in your home can help to balance the equation of credit worthiness.
A local bankruptcy attorney can help you understand the differences between Chapter 7 bankruptcy and Chapter 13 bankruptcy, so that you can make an educated decision about the best next step for you. Fill out the form below for a free bankruptcy case evaluation by a local attorney.
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