Rebuilding Credit After Bankruptcy

Bankruptcy and Your Credit Score

Bankruptcy will lower your credit score, but if you were already behind on payments, your score may have been low already. The key is to build new positive credit history after discharge.

Immediate Steps

• Review your credit reports for errors—dispute inaccuracies
• Obtain a secured credit card and use it sparingly, paying in full each month
• Become an authorized user on a family member\'s card (if they have good credit)
• Pay all bills on time—utility and rent payments can sometimes be reported

Timeline for Improvement

Many filers see their score rise 50–100+ points within 12–24 months. Lenders often look at post-bankruptcy behavior. Consistent on-time payments and low credit utilization demonstrate reliability.

What to Avoid

Avoid "credit repair" scams that promise to erase bankruptcy. Avoid high-fee subprime loans if possible. Do not take on debt you cannot afford—focus on building positive history slowly.