How Bankruptcy and Foreclosure Affects You in the Poconos

People in financial trouble often wonder how bankruptcy and foreclosure of a home could potentially affect them. They may often ask, “Can we make this bad situation work to our advantage in any way?” At Fisher & Fisher Law Offices, we can advise you if it benefits you to file for bankruptcy before or after your house goes into foreclosure.

How Long Do Bankruptcies & Foreclosures Stay on a Credit Report?

Another concern on the minds of many people is how long bankruptcy and foreclosure filings stay on your credit report. Credit for financing is a concern on the minds of many people these days. Many people are unaware that Bankruptcies and foreclosures can remain on a credit report for up to 7 to 10 years. It is also important to know that it does not necessarily take that long for your credit to improve. You can often get unsecured credit/loans on credit cards and secured loans such as automobile loans even sooner than 7 years.

Some lenders will consider a borrower earlier if they have re-established good credit. The circumstances surrounding the bankruptcy can also influence a lender’s decision. For example, if you went through a bankruptcy because your employer had financial difficulties, a lender may be more sympathetic. If, however, you went through bankruptcy because you overextended personal credit lines and lived beyond your means, the lender probably will be less inclined to be flexible.

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We are a debt relief agency. We help people file for relief under the bankruptcy code.