Skip to Main Content

A Guide to Financial Success After Bankruptcy

BLOG Posts

The process of declaring bankruptcy can be frustrating, and oftentimes isolating. If you've recently declared bankruptcy, you’re not alone. In 2019, more than 700,000 bankruptcy cases were filed across the US. Even though it’s relatively common, many people often view bankruptcy as the end of their financial life. Thankfully, this is not the case.

Instead, it can simply be the start of a new chapter in your financial life. There are some things you can do to promote success in your financial life after bankruptcy. Our team at The Law Offices of Veronica Deaver has outlined a few to get you back on your feet in no time!

Build Your Budget

Your first step after bankruptcy should be to set a budget. By setting a budget, you can ensure that you don't live beyond your means. There are a variety of tools that will help you balance your expenses, including good ole pencil and paper. Or, there are many smartphone apps and computer programs that can assist you when balancing your expenses. We also recommend creating a savings account, if you don’t have one already, in case of financial emergencies. 
Rebuild Your Credit

You can rebuild your credit score after declaring bankruptcy, and we recommend doing so for financial decisions you may make later in life. Many people achieve a positive outcome here after just two years. To rebuild your credit, focus on paying your bills on time: your payment history accounts for 35% of your credit score. These timely payments highlight that you are financially responsible. 

You may also find it beneficial to open a secured credit card. On-time payments on your credit card can be a great proof of financial improvement and success. Some people find credit builder loans can also be beneficial here, but they are definitely not necessary. 

Check Your Credit Reports

Checking your credit score on your own, which is a soft credit check or inquiry, doesn't hurt your credit score. However, if a creditor or lender runs a credit check, that's typically a hard credit check, which could affect your credit score. So, there’s no harm in checking your credit report once a month, to check for any errors or questionable reductions. If you spot errors early and seek reversal, you can avoid any further damage to your credit reputation. 

Focus On A Positive Employment History

If you are able, focus on keeping a positive employment history. It is important to maintain your job after declaring bankruptcy to prove your financial reliability. Many lenders will use your employment history as a key marker to determine whether they should lend you now, or in the future. Long-term employment will help send the right message that you are dependable and will make on-time payments.  

Set Goals

We recommend setting goals for your financial future. Whether it’s a certain credit score or something you want to purchase, choose something you will be excited to work towards. After setting a goal, make a plan for how to achieve those goals. You may find it helpful to create a schedule for your goals, so you can meet them in a reasonable amount of time. By setting a goal, you will have a financial destination to head towards. 

Bounce Back After Bankruptcy with Veronica Deaver

Take what bankruptcy has taught you and get back on your feet with the support of the right bankruptcy lawyer. A bankruptcy lawyer can help create positive steps to get your financial life back on the right track and continue moving forward. At The Law Offices of Veronica Deaver, our team is knowledgeable and ready to help you in all aspects of your financial success. 

Get Financial Help From The Law Offices of Veronica Deaver

If you are filing for bankruptcy or recovering from the aftermath, we understand that it can be overwhelming. Our team at The Law Office of Veronica Deaver is dedicated to giving you quality advice and support you can trust. Don’t hesitate to call us at (469) 351-1540 or contact us to learn more about how we can help you with financial success!

Contact Us Today

Contact Us Today

We can help you navigate your way back to financial freedom

(214) 282-5024