Questions About Bankruptcy?
Bankruptcy often IMPROVES your credit score!
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Everett, WA Bankruptcy lawyers
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What about my credit score?
Can I still get credit after filing an Everett, WA bankruptcy?
Our Everett bankruptcy lawyers are often asked questions about how filing for bankruptcy will affect their credit.
How will filing an Everett, WA bankruptcy affect my credit score or rating?
Will I still be able to get credit after filing an Everett, WA Bankruptcy?
If you do exercise your right to a fresh financial start in bankruptcy, you probably will not want to borrow money again soon. However, most people are very concerned about their credit score nonetheless.
The most common way of measuring a credit score by far is through the Fair Isaac Corporation (FICO). This corporation uses a complicated formula to create a score that credit rating agencies use to determine your creditworthiness.
The basics of this formula are made up of 35% payment history, 30% credit utilization (how far have you tapped into your credit limits), 15% length of credit utilization and 10% number of recent credit report inquires or recent loans.
Bankruptcy certainly factors into this but it is far from the only factor.
Many people qualify for mortgages within two years of filing a bankruptcy. You will actually find yourself flooded with offers for credit for some loans, such as certain credit cards or car loans.
Of course, if you have to file bankruptcy you need to be very careful about any debt you take out after your discharge. However, filing for bankruptcy is far from the end of the world.
If you are drowning in debt, bankruptcy may be the best way to improve your credit score. Our Everett bankruptcy attorneys offer an initial consultation to advise you if bankruptcy is the best long term option to your credit problems.