Bankruptcy is the wrong decision because it not only impacts on your finance it also impact on your state of credit score. Your credit score can be decrease by the financial hardship there are some of the real and helpful ways to improve your finance path and make your credit score better.
If you are going to better your credit score then first you have to know about or have some of the information about the credit score. So what is your current score and how it will help you in future. When you are going to apply for any type of credit like; credit card, car loan etc. you must have to check your credit score first and see your whole history of the credit score and from this you can conclude that where your are standing and whether lender gives you lend or not. If you have good credit score then it wasn’t be difficult for you to get approved.
It is very important to understand that what will happen if your file is bankruptcy. Because, if you are bankruptcy then the name of bankruptcy will be stay for next 10 years but, there is a good chance to FICO score will be low until, when you didn’t start rebuilding your credit. There are some the tips or ways from which you can make your credit score better.
Check your credit report
The first thing is to check that where you are actually stands and where you will have ti go in future. So for this you should have a copy of your credit report and check and see is there any error or not. You can also see all the information about your credit report on your bank website. You can also take help online to understand your current situation.
Pay bills on time
The most important thing is to do next is to pay your all the bills on time because your payment history makes up 35% of your credit score. This is the easier way to improve your credit score.
When if you still think you can do this then set a reminder on your calendar before the due date or some of the banks also offers to pay the bills automatically.
Apply for the credit
If you don’t have to keep a major credit card account open during the bankruptcy then it’s a good idea to take one after your bankruptcy has been discharged. You may have to start with a secured card which will have you in not spending extra, open account with a security and pay your bills full each month with the cash.
Know your limits
After all that, once you start re-establishing your credit score then, it is difficult but you should have to know your limit of card and you have to balance your money below them. You will have a low limit on your card but its ok, you can use your card and pay all the bills on time. This thing will also help you in improving your credit score.
Beware of credit repair services
May be you will receive any credit card repair service offer and they will promise you to solve your issue and help you in repairing your credit card. First make it sure that they are saying true or even you can investigate about these services before taking them because their fee are too much expensive. So, there are so many other ways and even you can personally can rebuild your credit score without paying off any fee.
The most important thing which you have to do is to learn the lesson about patient. The way which takes you to the bankruptcy is didn’t create over a night. And don’t think that, there is no way to improving your credit. If you will follow these tips which are above then these thing will help you surly.