When you are fresh from bankruptcy, you may decide you never want to touch a piece of plastic again. But here are some questions to consider: - Do I want to buy a house? Do I need to buy a car? Do I have kids that need help for college? If you answered yes to any of these questions, can you pay cash? If not, you will need to secure a mortgage, auto financing, or a student loan sometime in the future, and you will need to rebuild your credit history for that purpose. - What about buying a cell phone? Renting an apartment? Most apartment … [Read More...]
Articles of Interest
Financing A Car Just Out of Bankruptcy
I recently had the opportunity to speak with a customer who just completed a Chapter 7 bankruptcy. My client agreed to help with my research regarding automobile financing since he himself was in the process of shopping for an auto loan. The value here is that he is just out of bankruptcy, which allows me to present to you an actual scenario rather than a hypothetical situation. It is also relevant in light of all the new financing guidelines that are prevalent due to the current recession and its affect on financing. Over the next two issues my … [Read More...]
Pre-Bankruptcy Pitfalls
Because of the complexity of bankruptcy laws and the nuances involved, it is essential that you hire a skilled attorney to assist you in the process. We have found that our clients have common concerns and questions during the time period of considering bankruptcy to before the filing is official. Below are some examples: How do I manage a bank account and loan from the same credit union? If you have a bank account at a credit union and you have an unsecured loan or credit card with that credit union, draw down the balance of that … [Read More...]
The Right Mindset
I recently had a woman visit my office who was in her 50's. Her husband had just lost his job, and he was having difficulty finding another job. They were in financial distress. She was really struggling, wondering if she should get a second job to pay her bills or if there was another solution. Bankruptcy was mentioned as a possible option for her, but she had difficulty pursuing it, primarily because of the moral or social dilemma it posed. She and her husband had always paid their bills on time before he lost his job. They were a responsible, … [Read More...]
Re-establishing Credit? Avoid These Cards!
After your bankruptcy, one of the last things you probably want to see is another credit card. Or you may be worried that no company will ever offer you another one, and you want to take the first offer that comes along. Whatever your feelings about credit, you will most likely need to rebuild your credit history if you ever plan on purchasing a home or car again. Used correctly and responsibly, credit cards can be a great tool to help with rebuilding your credit. There are some things to be careful of when looking for a new credit card or … [Read More...]
