Is filing Bankruptcy bad for your credit?
Seems like a simple question with an obvious answer. The truth of the matter is that it all depends. If you are paying all your obligations, meeting all your necessities and actually reducing your credit card balance, maybe bankruptcy is not for you. If however you are not able to meet your necessities, or maybe you are just paying the minimum due but the amount you owe is increasing or even staying the same, bankruptcy may be the financial tool for you.
If you cannot afford to pay your debt on time, not only is your credit score poor, but it will continue to get worse in the future with more reports from the creditors of late payments and as the principal balance due increases. On average a person with a bad credit score will see their score go up by as much as 100 points within 15 months of filing for Bankruptcy.
Get informed, get a FRESH START! Call our office (305) 826-1774 for a FREE no obligation consultation:
Freire & Gonzalez, P.A. with offices in Kendall, Hialeah and Ft. Myers.