We all start out on our own financial journey in much the same way. We start out with a small loan, maybe with a relative co-signing for us, and we build and establish our credit one step at a time. Gradually through the course of time, we assume more and more responsibility and as our finances and income increase, often too does our debt.
If we aren't careful we can find ourselves in over our heads. If you get laid off, lose your job, or have an extended illness, it doesn't take long to find yourself behind in your bills and unable to pay. Soon the creditors are calling.
Suddenly the torment starts and the nightmares begin. You can find yourself feeling like there is no way out, no way to avoid bankruptcy - no relief in sight. It's easy to feel hopeless and full of despair in these circumstances. Bad things CAN happen to good people.
The good news is there are reasonable and realistic ways that one can use to avoid bankruptcy. There is no shortage of debt counseling services, debt consolidation services, and debt management firms available to us today. Many of these services can help you consolidate your payments into one affordable monthly payment, while getting your debt reduced by forty, fifty, or even sixty percent!
With all the alternatives to help you to avoid bankruptcy, it is encouraging to know that help can be just a phone call away. Some of the best of these services can stop harassing creditor phone calls immediately - giving you some instant comfort and peace of mind.
Helping you to recover from the devastating effects of financial mismanagement is an attainable and realistic goal. It can be achieved. You can avoid bankruptcy. Explore the options available to you as soon as possible. To avoid bankruptcy is to avoid the crippling financial effects that bankruptcy can have on you for years to come.
There are better alternatives than filing bankruptcy. You can begin to take steps to alleviate your discomfort in the near term, while restoring your credit. Work toward that goal and you will succeed. Remember, a journey of a thousand miles begins with that first step.
http://www.content.onlypunjab.com/Article/Solutions-To-Help-Avoid-Bankruptcy/4200320092003362565
Wednesday, October 3, 2007
Life After Bankruptcy Now What? 5 Ways to Repair Your Credit After Bankruptcy
Bankruptcy is a distressing, stressful but ultimately a freeing experience for millions of Americans every year. Bankruptcy turns out to be a double-edged sword. Depending on which type of bankruptcy you file, you are either relieved of all of your debt through the liquidation of your assets, or you may be making monitored payments to your debtors.
This may prove to be quite beneficial. Your financial life is finally under control. However, because bankruptcy is perhaps the worst mark that can appear on one’s credit, you must focus on rebuilding your credit and in short order. Here are five ways to rebuild your credit after bankruptcy.
1. Create A Plan: Look at where you have been. Why did you have to previously file for bankruptcy? Once you have determined this, create a plan that will allow you to sidestep those previous pitfalls. Figure out where you want to go and then create a plan to get there.
2. Be Selective: Be selective about the money you borrow. Don’t buy things you don’t need on credit. You end up paying much more then they are worth. Instead, save up cash for items you want but don’t need.
3. Start Small: Once you have declared bankruptcy, you will have a hard time getting decent credit rates and terms, so start small. Purchase a small piece of furniture and pay it off within 6 months (skip the “don’t pay for a whole year” deals!).
4. Get A Secured Credit: Secured credit cards match the amount of money you deposit. It allows you to rebuild your credit safely, while slowly proving to the credit bureaus and future lenders that you can be a good credit risk.
5. Work With Companies Who Report to the Credit Bureaus: Some companies do not report to the credit bureaus, so your on-time payments are doing nothing to help your credit scores. Ask first, and then work with companies that will help you increase your credit score by reporting them to the credit bureaus.
Filing for bankruptcy can be a trying time. However, try to look at it positively. You now have the opportunity to start over and do it right. Learn from your mistakes, formulate a new game plan and then move forward. Life after bankruptcy can be much better, than the first time around!
http://www.content.onlypunjab.com/Article/Life-After-Bankruptcy-Now-What--5-Ways-to-Repair-Your-Credit-After-Bankruptcy/4200320092003363026
This may prove to be quite beneficial. Your financial life is finally under control. However, because bankruptcy is perhaps the worst mark that can appear on one’s credit, you must focus on rebuilding your credit and in short order. Here are five ways to rebuild your credit after bankruptcy.
1. Create A Plan: Look at where you have been. Why did you have to previously file for bankruptcy? Once you have determined this, create a plan that will allow you to sidestep those previous pitfalls. Figure out where you want to go and then create a plan to get there.
2. Be Selective: Be selective about the money you borrow. Don’t buy things you don’t need on credit. You end up paying much more then they are worth. Instead, save up cash for items you want but don’t need.
3. Start Small: Once you have declared bankruptcy, you will have a hard time getting decent credit rates and terms, so start small. Purchase a small piece of furniture and pay it off within 6 months (skip the “don’t pay for a whole year” deals!).
4. Get A Secured Credit: Secured credit cards match the amount of money you deposit. It allows you to rebuild your credit safely, while slowly proving to the credit bureaus and future lenders that you can be a good credit risk.
5. Work With Companies Who Report to the Credit Bureaus: Some companies do not report to the credit bureaus, so your on-time payments are doing nothing to help your credit scores. Ask first, and then work with companies that will help you increase your credit score by reporting them to the credit bureaus.
Filing for bankruptcy can be a trying time. However, try to look at it positively. You now have the opportunity to start over and do it right. Learn from your mistakes, formulate a new game plan and then move forward. Life after bankruptcy can be much better, than the first time around!
http://www.content.onlypunjab.com/Article/Life-After-Bankruptcy-Now-What--5-Ways-to-Repair-Your-Credit-After-Bankruptcy/4200320092003363026
Some Myths About Bankruptcy
When people are so deep into debts and they have absolutely no chance of paying them off then as a last resort they file for bankruptcy. However this is often considered a taboo subject and there are many misconceptions floating around. Some of the myths associated with bankruptcy are:
Myth 1: Everyone will know
People believe that as bankruptcy is a part of your public record every person will get to know about it. However this is far from the truth. No one is so bothered to check. Generally only your creditors and those you tell about your financial condition will know.
Myth 2: I'll lose everything
Far from losing things you own, bankruptcy may actually enable you to retain them. You will merely have to diligently continue the payments on your house or vehicle and compensate for the missed payments.
Myth 3: I'll never be able to buy anything again
No doubt bankruptcy, affects your credit drastically, however once in this situation you will also be flooded with credit offers either by secured cards or from sub prime lenders. The only downside is that these loans come at exorbitant interest rates. You will now need to avoid the mistakes you made in the past and improve your credit history. This can be done by paying off these loans punctually.
Myth 4: It is hard to file for bankruptcy
Filing for bankruptcy is not a tedious process. With the help of a good attorney just about any person can do so. They are experts at finding the loopholes and if not through Chapter 7 they will ensure you get file it through Chapter 13.
Myth 5: You can only file once
Filing more than once, for bankruptcy is not suggested. This means that the strategies you are using to handle your finances are not working effectively. It will be advisable to seek good professional help to get you out of this situation. However the law allows it, although with certain restrictions. You can file for Chapter 7 bankruptcy only once every eight years. You can file a Chapter 13 once every two years. If you have filed a Chapter 7 and now intend on filing a Chapter 13, you can do so only after four years.
Myth 6: The only reason to file is to get out from under the responsibility People are under the misconception that only people who shirk their responsibility to pay the loans back file for bankruptcy. However, it is actually filed by people who are so deep into debts that in spite of trying for years they cannot get out of it and the debts are accumulating. Also, people experiencing a divorce, loss of job, etc are often bankruptcy seekers.
http://www.content.onlypunjab.com/Article/Some-Myths-About-Bankruptcy/4200320092003364699
Myth 1: Everyone will know
People believe that as bankruptcy is a part of your public record every person will get to know about it. However this is far from the truth. No one is so bothered to check. Generally only your creditors and those you tell about your financial condition will know.
Myth 2: I'll lose everything
Far from losing things you own, bankruptcy may actually enable you to retain them. You will merely have to diligently continue the payments on your house or vehicle and compensate for the missed payments.
Myth 3: I'll never be able to buy anything again
No doubt bankruptcy, affects your credit drastically, however once in this situation you will also be flooded with credit offers either by secured cards or from sub prime lenders. The only downside is that these loans come at exorbitant interest rates. You will now need to avoid the mistakes you made in the past and improve your credit history. This can be done by paying off these loans punctually.
Myth 4: It is hard to file for bankruptcy
Filing for bankruptcy is not a tedious process. With the help of a good attorney just about any person can do so. They are experts at finding the loopholes and if not through Chapter 7 they will ensure you get file it through Chapter 13.
Myth 5: You can only file once
Filing more than once, for bankruptcy is not suggested. This means that the strategies you are using to handle your finances are not working effectively. It will be advisable to seek good professional help to get you out of this situation. However the law allows it, although with certain restrictions. You can file for Chapter 7 bankruptcy only once every eight years. You can file a Chapter 13 once every two years. If you have filed a Chapter 7 and now intend on filing a Chapter 13, you can do so only after four years.
Myth 6: The only reason to file is to get out from under the responsibility People are under the misconception that only people who shirk their responsibility to pay the loans back file for bankruptcy. However, it is actually filed by people who are so deep into debts that in spite of trying for years they cannot get out of it and the debts are accumulating. Also, people experiencing a divorce, loss of job, etc are often bankruptcy seekers.
http://www.content.onlypunjab.com/Article/Some-Myths-About-Bankruptcy/4200320092003364699
Los Angeles Bankruptcy - Go On With Your Life
Not many things can be as hard as having to declare yourself bankrupt, whether in a personal capacity or a business capacity. The Los Angeles bankruptcy system offers several ways of improving your situation after surviving bank.
As a person or a business, filing bankruptcy is a big step in your financial life, in either circumstance it seems to demonstrate that you have no control over your financial state and by extension over your life. This is however something that is becoming a fact of life for a far greater number of people than most people would ever guess or even care to admit. The causes vary greatly from case to case, but the end result is always the same.
- According to The Los Angeles Bankruptcy system, what to do after filing bankruptcy -
Thanks to the Los Angeles bankruptcy system, refinancing is possible, although can seem like an especially difficult challenge, but it does not have to be like that. Six months after your bankruptcy has been finalized, you can find lenders willing to refinance your mortgage. As a matter of fact, refinancing your mortgage can help rebuild your credit to good standing in more or less two year’s time. Follow some helpful and easy steps and see for yourself that the Los Angeles bankruptcy system is very friendly with those people that are trying to rebuild their financial life, so after finishing these steps that will help you find the best refinance lender while helping you rebuild your credit record you will see that not everything is over.
- Los Angeles bankruptcy system: Setting up for refinancing -
Right after filing bankruptcy, you have a six months window of time to prepare to refinance your mortgage. Start by setting up good payment history by regularly paying your bills and current mortgage, this way lenders and credit companies will notice that you can maintain a payment plan and that are now stable, financially talking.
If possible, sketch up a budget plan in order to raise extra cash, one way is to start building up a savings account. The more cash assets you have, the better your application will look. Make a garage sale or if it is possible take a second job in order to raise funds, there are many ways that can help you stabilize your financial status, according to the Los Angeles bankruptcy system.
- Los Angeles bankruptcy system: Inquiring about possible lenders -
The Los Angeles bankruptcy system advices that once you are ready to refinance, meaning that you have been paying on time and that you have come up with some cash, look out for some mortgage lenders and their rates. Online mortgage websites allow easy comparison shopping. Look at both interest rates and fees of refinancing quotes. Usually a slightly higher rate with low fees is the best deal or you can ask for professional counseling in these same sites, according to the Los Angeles bankruptcy system.
- After the refinance process ends, receive advise from the Los Angeles bankruptcy system professional counselors-
After having completed your refinancing process, you can plan to lower your interest rates through refinancing in two years by building up your credit score. Continue making regular payments and add to your cash reserves. Before you apply to refinance again, review your credit report to be sure your bankruptcy closed all past accounts on your record. With a solid credit history behind you, you can apply to traditional mortgage lenders. Los Angeles bankruptcy system helps people recover from bankruptcy.
We have different articles of interesting topics and current and former clients’ experiences with our programs. Take a look at the different situations on Los Angeles Bankruptcy and debt related topics that people can fall into and how to keep yourself a debt free person.
http://www.content.onlypunjab.com/Article/Los-Angeles-Bankruptcy---Go-On-With-Your-Life/4200320092003358585
As a person or a business, filing bankruptcy is a big step in your financial life, in either circumstance it seems to demonstrate that you have no control over your financial state and by extension over your life. This is however something that is becoming a fact of life for a far greater number of people than most people would ever guess or even care to admit. The causes vary greatly from case to case, but the end result is always the same.
- According to The Los Angeles Bankruptcy system, what to do after filing bankruptcy -
Thanks to the Los Angeles bankruptcy system, refinancing is possible, although can seem like an especially difficult challenge, but it does not have to be like that. Six months after your bankruptcy has been finalized, you can find lenders willing to refinance your mortgage. As a matter of fact, refinancing your mortgage can help rebuild your credit to good standing in more or less two year’s time. Follow some helpful and easy steps and see for yourself that the Los Angeles bankruptcy system is very friendly with those people that are trying to rebuild their financial life, so after finishing these steps that will help you find the best refinance lender while helping you rebuild your credit record you will see that not everything is over.
- Los Angeles bankruptcy system: Setting up for refinancing -
Right after filing bankruptcy, you have a six months window of time to prepare to refinance your mortgage. Start by setting up good payment history by regularly paying your bills and current mortgage, this way lenders and credit companies will notice that you can maintain a payment plan and that are now stable, financially talking.
If possible, sketch up a budget plan in order to raise extra cash, one way is to start building up a savings account. The more cash assets you have, the better your application will look. Make a garage sale or if it is possible take a second job in order to raise funds, there are many ways that can help you stabilize your financial status, according to the Los Angeles bankruptcy system.
- Los Angeles bankruptcy system: Inquiring about possible lenders -
The Los Angeles bankruptcy system advices that once you are ready to refinance, meaning that you have been paying on time and that you have come up with some cash, look out for some mortgage lenders and their rates. Online mortgage websites allow easy comparison shopping. Look at both interest rates and fees of refinancing quotes. Usually a slightly higher rate with low fees is the best deal or you can ask for professional counseling in these same sites, according to the Los Angeles bankruptcy system.
- After the refinance process ends, receive advise from the Los Angeles bankruptcy system professional counselors-
After having completed your refinancing process, you can plan to lower your interest rates through refinancing in two years by building up your credit score. Continue making regular payments and add to your cash reserves. Before you apply to refinance again, review your credit report to be sure your bankruptcy closed all past accounts on your record. With a solid credit history behind you, you can apply to traditional mortgage lenders. Los Angeles bankruptcy system helps people recover from bankruptcy.
We have different articles of interesting topics and current and former clients’ experiences with our programs. Take a look at the different situations on Los Angeles Bankruptcy and debt related topics that people can fall into and how to keep yourself a debt free person.
http://www.content.onlypunjab.com/Article/Los-Angeles-Bankruptcy---Go-On-With-Your-Life/4200320092003358585
Bankruptcy and Improving Your Credit Score
Personal bankruptcy used to have a social stigma attached to it, but these days, a bankruptcy filing is so common that few people think about it anymore. A great number of Americans apply for bankruptcy every year.
The reasons for a bankruptcy filing can be quite diverse - loss of job, injury, or just a run of bad luck. Federal law permits people who can show that they simply can't repay debts the chance to have those financial obligations discharged in court. Having your outstanding debts forgiven is not necessarily easy; there is a price to be paid for getting a new start. The discharged debts become taxable income. The filing will remain a black mark on your credit report for as long as ten years.
There are credit card companies that may offer charge cards to individuals who have just emerged from bankruptcy court. Companies don't provide credit to the recently broke to be kind; they know that once you emerge from court, you can't file for bankruptcy again for eight years. Your credit card will be more expensive than the typical card, and you'll have to pay greater interest rates, but you can get a credit card after bankruptcy.
Here are several tips that may help you raise your credit score after a bankruptcy filing:
Ask for a bigger credit limit. Credit bureaus use something called a debt-to-credit ratio when establishing a FICO score, measuring how much debt you have when compared to how much you can potentially owe. In a perfect world, you want to owe as little as possible when compared to your total limit. Your FICO score is based, to an extent, on the amount of purchasing power at your disposal. An increase in your available limit can help that right away. The greater your credit limit, the healthier your ratio.
Get a major charge card. When possible, you should submit an application for accounts from larger banks, as they tend to carry more 'weight" with the bureaus. An account from Citibank can aid your score more than a credit card from Bank on the Corner. The large banks are not going to approve you for anything right away; you'll have to start with expensive cards from small card-issuing banks. Acquire the expensive credit cards when they are offered and use them wisely; you may have little other choice. Submit your payment in full if possible, so that you don't have to pay the high interest rates that you will undoubtedly be charged. Make recurring purchases and pay the bill promptly.
It can be tough emerging from personal bankruptcy, but it is possible. Reestablishing financial competence takes time and effort, but over a period of time, you can do it.
http://www.content.onlypunjab.com/Article/Bankruptcy-and-Improving-Your-Credit-Score/4200320092003368757
The reasons for a bankruptcy filing can be quite diverse - loss of job, injury, or just a run of bad luck. Federal law permits people who can show that they simply can't repay debts the chance to have those financial obligations discharged in court. Having your outstanding debts forgiven is not necessarily easy; there is a price to be paid for getting a new start. The discharged debts become taxable income. The filing will remain a black mark on your credit report for as long as ten years.
There are credit card companies that may offer charge cards to individuals who have just emerged from bankruptcy court. Companies don't provide credit to the recently broke to be kind; they know that once you emerge from court, you can't file for bankruptcy again for eight years. Your credit card will be more expensive than the typical card, and you'll have to pay greater interest rates, but you can get a credit card after bankruptcy.
Here are several tips that may help you raise your credit score after a bankruptcy filing:
Ask for a bigger credit limit. Credit bureaus use something called a debt-to-credit ratio when establishing a FICO score, measuring how much debt you have when compared to how much you can potentially owe. In a perfect world, you want to owe as little as possible when compared to your total limit. Your FICO score is based, to an extent, on the amount of purchasing power at your disposal. An increase in your available limit can help that right away. The greater your credit limit, the healthier your ratio.
Get a major charge card. When possible, you should submit an application for accounts from larger banks, as they tend to carry more 'weight" with the bureaus. An account from Citibank can aid your score more than a credit card from Bank on the Corner. The large banks are not going to approve you for anything right away; you'll have to start with expensive cards from small card-issuing banks. Acquire the expensive credit cards when they are offered and use them wisely; you may have little other choice. Submit your payment in full if possible, so that you don't have to pay the high interest rates that you will undoubtedly be charged. Make recurring purchases and pay the bill promptly.
It can be tough emerging from personal bankruptcy, but it is possible. Reestablishing financial competence takes time and effort, but over a period of time, you can do it.
http://www.content.onlypunjab.com/Article/Bankruptcy-and-Improving-Your-Credit-Score/4200320092003368757
Fresh Start Loans After Bankruptcy
Bankruptcy is one option most debtors consider for a fresh financial start. The lending industry has opened up today and there are many options available for fresh start personal loans in UK. Getting finance after bankruptcy was believed to be extremely difficult but today the fresh start loan option has simplified the entire process for the benefit of the many UK nationals who have gotten into financial problems. Fresh start personal loans after bankruptcy will help you with the money you need and help you re-establish your credit rating so you can avail all the benefits that your counterpart with a good credit rating would enjoy.
Rebuilding Your Life after Bankruptcy
• Talk to your account manager or financial advisor
• Open a savings account and deposit a set amount from each pay cheque
• Apply for a fresh start loan and make your monthly payments on time
• Get yourself one or two secured credit cards requiring a deposit equal to the credit limit issued.
Charge minor purchases and make minimum payments on time.
Find Out If Fresh Start Loans Online Can Serve Your Situation!
CCJs, missed payments, loan defaults, bankruptcy…sounds like a situation you’re in? Or have you had to go through the pain of a business failure, divorce or any other medical emergencies which disrupted your normal financial life and left you in the lurch? Fresh start personal loans can serve your needs. And with the number of online fresh start loan options you can be confident that you will get yourself a low rate fresh start loan deal.
Fresh Start Loans – Your Financial Options
Your creditors would call you from the early hours of the morning until late evening. Their pressing demands turned into threats, no sympathy for your personal situation and you were forced into a bankruptcy. You’re probably stressed, angry and fearful at the turn of events. You are obviously apprehensive of applying for a loan now. However the option of fresh start loans after bankruptcy can provide the necessary respite in such a situation. You can find a number of reputable online lenders who will provide you with the best rates for fresh start bankruptcy loans. Timely repayments will reflect positively on your credit report and your finances will return to normalcy sooner than you had expected.
The greatest advantage of fresh start loans is their flexibility. You can get a tailored fresh start loan to meet your needs and budget through a simple online process today. In order to assure yourself low monthly payments you could extend the loan repayment program so you can keep your monthly repayment at an affordable level. When all other financial options fail, fresh start loans can help you!
http://www.content.onlypunjab.com/Article/Fresh-Start-Loans-After-Bankruptcy/4200320092003371698
Rebuilding Your Life after Bankruptcy
• Talk to your account manager or financial advisor
• Open a savings account and deposit a set amount from each pay cheque
• Apply for a fresh start loan and make your monthly payments on time
• Get yourself one or two secured credit cards requiring a deposit equal to the credit limit issued.
Charge minor purchases and make minimum payments on time.
Find Out If Fresh Start Loans Online Can Serve Your Situation!
CCJs, missed payments, loan defaults, bankruptcy…sounds like a situation you’re in? Or have you had to go through the pain of a business failure, divorce or any other medical emergencies which disrupted your normal financial life and left you in the lurch? Fresh start personal loans can serve your needs. And with the number of online fresh start loan options you can be confident that you will get yourself a low rate fresh start loan deal.
Fresh Start Loans – Your Financial Options
Your creditors would call you from the early hours of the morning until late evening. Their pressing demands turned into threats, no sympathy for your personal situation and you were forced into a bankruptcy. You’re probably stressed, angry and fearful at the turn of events. You are obviously apprehensive of applying for a loan now. However the option of fresh start loans after bankruptcy can provide the necessary respite in such a situation. You can find a number of reputable online lenders who will provide you with the best rates for fresh start bankruptcy loans. Timely repayments will reflect positively on your credit report and your finances will return to normalcy sooner than you had expected.
The greatest advantage of fresh start loans is their flexibility. You can get a tailored fresh start loan to meet your needs and budget through a simple online process today. In order to assure yourself low monthly payments you could extend the loan repayment program so you can keep your monthly repayment at an affordable level. When all other financial options fail, fresh start loans can help you!
http://www.content.onlypunjab.com/Article/Fresh-Start-Loans-After-Bankruptcy/4200320092003371698
Discover How To Avoid Bankruptcy.
First, some definitions: Bankruptcy is a legally declared inability or impairment of ability of an individual or organisation to pay their creditors. Bankruptcy is a legal proceeding that prohibits debt collectors to collect from an individual who has been declared bankrupt by the court. The legal system ensures that the court only declares bankrupt individuals who meet certain criteria and even then those individuals still have to pay certain bills.
Tips for getting out of bankruptcy.
1. First, don't panic! A common cause of bankruptcy is sheer panic. If you know that you are starting to fall behind, take a logical look at your budget and your debts. Don't jump to any quick conclusions and never assume that bankruptcy is your only option.
If you can sit down and get all of your information organised and form some kind of plan to help yourself before you ever go for professional help, you may be saving yourself from bankruptcy right there. Panic is one thing that will make you more likely to file for bankruptcy in the end.
2. Do Get Professional Advice: If your debt has reached a point where you can no longer create a plan for yourself, it is time to seek professional help. This doesn't necessarily mean that you have to sign up for a debt management program, but getting a simple plan set up by a financial advisor can be extremely helpful when you think you've run out of options. An advisor may also be helpful when it comes to lowering interest rates or late fees, which are things you could not accomplish on your own.
3. Do NOT Borrow: For some reason people have a tendency to try paying off old debt by creating new debt. It almost never works, and it will create much larger problems in the end if you're not careful. If you are under the delusion that you can pay off your debt by borrowing money from a friend or family member, stop right there! Do yourself a favour by keeping your debt in your own hands and son't bring it to the people around you. This will only accomplish short term goals, and really won't improve your situation at all.
4. Improve Your Income: One of the best ways to help yourself is to increase your income to keep up with your debts. While it may not be possible to get a large enough raise to cover all of your debt immediately, even a small increase can make a huge difference in the amount of money you owe. If you can't manage to get any sort of raise from your primary occupation, you might want to consider getting a second job to help catch up. A second job does not need to be anything high paying, but just something to supplement your primary income enough to start taking charge of your debts again.
5. Don't Place One Creditor First: If you plan on trying to pay off one debt at a time, slow down just a bit. While it will be helpful to eliminate an entire debt and also the interest rate associated with it, it is not a good idea to focus in only one direction and let the others get out of hand. Your debt will decrease much faster if you can pay off the smaller and larger debts at the same time. This way you will pay off the smaller debts as you go and eventually you will be left only paying the larger debts.
http://www.content.onlypunjab.com/Article/Discover-How-To-Avoid-Bankruptcy-/4200320092003394122
Tips for getting out of bankruptcy.
1. First, don't panic! A common cause of bankruptcy is sheer panic. If you know that you are starting to fall behind, take a logical look at your budget and your debts. Don't jump to any quick conclusions and never assume that bankruptcy is your only option.
If you can sit down and get all of your information organised and form some kind of plan to help yourself before you ever go for professional help, you may be saving yourself from bankruptcy right there. Panic is one thing that will make you more likely to file for bankruptcy in the end.
2. Do Get Professional Advice: If your debt has reached a point where you can no longer create a plan for yourself, it is time to seek professional help. This doesn't necessarily mean that you have to sign up for a debt management program, but getting a simple plan set up by a financial advisor can be extremely helpful when you think you've run out of options. An advisor may also be helpful when it comes to lowering interest rates or late fees, which are things you could not accomplish on your own.
3. Do NOT Borrow: For some reason people have a tendency to try paying off old debt by creating new debt. It almost never works, and it will create much larger problems in the end if you're not careful. If you are under the delusion that you can pay off your debt by borrowing money from a friend or family member, stop right there! Do yourself a favour by keeping your debt in your own hands and son't bring it to the people around you. This will only accomplish short term goals, and really won't improve your situation at all.
4. Improve Your Income: One of the best ways to help yourself is to increase your income to keep up with your debts. While it may not be possible to get a large enough raise to cover all of your debt immediately, even a small increase can make a huge difference in the amount of money you owe. If you can't manage to get any sort of raise from your primary occupation, you might want to consider getting a second job to help catch up. A second job does not need to be anything high paying, but just something to supplement your primary income enough to start taking charge of your debts again.
5. Don't Place One Creditor First: If you plan on trying to pay off one debt at a time, slow down just a bit. While it will be helpful to eliminate an entire debt and also the interest rate associated with it, it is not a good idea to focus in only one direction and let the others get out of hand. Your debt will decrease much faster if you can pay off the smaller and larger debts at the same time. This way you will pay off the smaller debts as you go and eventually you will be left only paying the larger debts.
http://www.content.onlypunjab.com/Article/Discover-How-To-Avoid-Bankruptcy-/4200320092003394122
How To Get Good Post-bankruptcy Credit.
After bankruptcy, the first thing to do is repair your credit. Without a proper credit record, you could be branded an untouchable by financial institutions and banks.
If and when you get any credit after the bankruptcy, you should be doubly careful that you do not default on any payments or else you will never come out from under the shadow of bad credit.
Keep records of your spending. The positive part of keeping accounts is that it is easy to use them to establish that things are moving on the right path.
A credit card or store card is the easiest way to improve your credit score. Keep a close track on the repayment schedule.
In case you need a loan, ensure that you do not repeat the mistakes you committed in the past that resulted in your bankruptcy.
If and when you get any sort of credit, ensure that you calculate very carefully how much the repayment installments are and how can you repay them. Any slight delay in payments could be taken very seriously by the lending companies.
Special classes are held by non-profit organisations and even debt management program providers. The programs are helpful when you have no money, a bankruptcy behind you, and you need to learn how to hold and manage extra cash. Money management is a useful skill, and not just in regard to money. It helps your self-discipline generally.
You will then find, when visiting your counsellor, that the love of easy money is the root cause of most of your problems.
What Do Bankrupt People Do When They Need A Loan?
When you file for bankruptcy and this motion is discharged, it means that the outstanding debts have been paid as per the bankruptcy rules. It will take two years for a person who was declared bankrupt to start with his normal life again.
It is possible to avail of a loan even before your lock-in period is over; however, it is quite hard to achieve this. One thing that could help you here is your post-bankruptcy credit report. If it is flawless, then you might have a chance to be considered for the loan. Besides, you would need to make a large deposit of 3-5% of the total loan amount.
The deposit can be met with a loan from friends and relatives; however, you would need to keep proof of every penny gathered, as the lender would need to see and accept the sources of your income. While it is acceptable to borrow for the deposit, the lender would not accept your application if your day-to-day income comes in this manner. You would need to have a job, which pays you sufficient to support yourself and repay the loan at the same time.
Another way to raise money for the deposit would be through online (and offline) grants. Run a search on the Internet and find out about this aspect. There are plenty of grants available on and off the Net, which could help you in this period of your life. The only thing is to get the right one.
The third pre-requisite that a lender would need is proof of your regular and sufficient income. Here, you will need to keep in mind that loans from relatives are not really an acceptable source of income.
If you manage to stay afloat for two years after the bankruptcy, then it will be easier for you to apply and get the loan you need. It remains for you to re-build your credit record and make the best of your future. It is also a good idea to save something out of your income every month so bankruptcy never happens to you again.
http://www.content.onlypunjab.com/Article/How-To-Get-Good-Post-bankruptcy-Credit-/4200320092003394123
If and when you get any credit after the bankruptcy, you should be doubly careful that you do not default on any payments or else you will never come out from under the shadow of bad credit.
Keep records of your spending. The positive part of keeping accounts is that it is easy to use them to establish that things are moving on the right path.
A credit card or store card is the easiest way to improve your credit score. Keep a close track on the repayment schedule.
In case you need a loan, ensure that you do not repeat the mistakes you committed in the past that resulted in your bankruptcy.
If and when you get any sort of credit, ensure that you calculate very carefully how much the repayment installments are and how can you repay them. Any slight delay in payments could be taken very seriously by the lending companies.
Special classes are held by non-profit organisations and even debt management program providers. The programs are helpful when you have no money, a bankruptcy behind you, and you need to learn how to hold and manage extra cash. Money management is a useful skill, and not just in regard to money. It helps your self-discipline generally.
You will then find, when visiting your counsellor, that the love of easy money is the root cause of most of your problems.
What Do Bankrupt People Do When They Need A Loan?
When you file for bankruptcy and this motion is discharged, it means that the outstanding debts have been paid as per the bankruptcy rules. It will take two years for a person who was declared bankrupt to start with his normal life again.
It is possible to avail of a loan even before your lock-in period is over; however, it is quite hard to achieve this. One thing that could help you here is your post-bankruptcy credit report. If it is flawless, then you might have a chance to be considered for the loan. Besides, you would need to make a large deposit of 3-5% of the total loan amount.
The deposit can be met with a loan from friends and relatives; however, you would need to keep proof of every penny gathered, as the lender would need to see and accept the sources of your income. While it is acceptable to borrow for the deposit, the lender would not accept your application if your day-to-day income comes in this manner. You would need to have a job, which pays you sufficient to support yourself and repay the loan at the same time.
Another way to raise money for the deposit would be through online (and offline) grants. Run a search on the Internet and find out about this aspect. There are plenty of grants available on and off the Net, which could help you in this period of your life. The only thing is to get the right one.
The third pre-requisite that a lender would need is proof of your regular and sufficient income. Here, you will need to keep in mind that loans from relatives are not really an acceptable source of income.
If you manage to stay afloat for two years after the bankruptcy, then it will be easier for you to apply and get the loan you need. It remains for you to re-build your credit record and make the best of your future. It is also a good idea to save something out of your income every month so bankruptcy never happens to you again.
http://www.content.onlypunjab.com/Article/How-To-Get-Good-Post-bankruptcy-Credit-/4200320092003394123
Debt Settlement - The Best Bankruptcy Alternative?
Debt settlement is the process in which a company will negotiate on your behalf an amount less then the balanced owed to your creditors. Typically a good settlement company can get the total balance you owe down to about 50 percent, sometimes even less. For most people facing financial crises, that is exactly the break they need.
Today, more then ever debtors need a break from debt. The two most common methods are bankruptcy and debt settlement. Most people already know bankruptcy is the last possible resort you want to do, which leaves debt settlement.
The question is; does debt settlement actually work?
Without a doubt yes, settlement sometimes referred to as debt negotiation does work. The bigger question should be, is it right for you? Before we get into evaluating whether or not it's right for you, let's make sure you understand the process.
Debt settlement has swelled dramatically in it's popularity for debtors looking to resolve their debt situation. This has increasingly being the case since the bankruptcy laws were changed in 2005 making it much harder for consumers to take that option.
For example; if you're currently struggling on your debts, no doubt you're getting hammered with creditor phone calls. Debt settlement companies will also deflect most of that as well by dealing with your creditors on your behalf. Furthermore, if you're $90,000 in debt and making payments of about $1500.00 per month, that may be reduced to about $90,000 and 700.00 per month.
So, let's take a look at the downside of debt settlement and see if it's right for you. We already know it will relieve you of a major portion of your debt but it has its drawbacks.
Two of the drawbacks are costs of the program and damage to your credit report. The average debt settlement company will charge 15 percent or more of the total debt in fees. Their services are invaluable to most people and worth a fee. Keep in mind that generally the more they charge you the more they should be saving you.
Another drawback to debt settlement is the damage to your credit report. While you are in debt settlement, your credit is going to take a beating and don't let anybody tell you otherwise. Chances are if you're considering debt settlement or bankruptcy, your credit is already taking that beating, but if you've managed to keep your credit intact to this point and know you may want to buy a home in the next year, then debt settlement may not be the right choice for you.
After you're finished with settlement then with a focused plan you can be good as new in 6 to 12 months. While there is no replacement for good judgment and making your payments on time, debt settlement has helped hundreds of thousands of debtors get back on their feet. You just have to know if it's the correct solution for you.
http://www.content.onlypunjab.com/Article/Debt-Settlement---The-Best-Bankruptcy-Alternative-/4200320092003394254
Today, more then ever debtors need a break from debt. The two most common methods are bankruptcy and debt settlement. Most people already know bankruptcy is the last possible resort you want to do, which leaves debt settlement.
The question is; does debt settlement actually work?
Without a doubt yes, settlement sometimes referred to as debt negotiation does work. The bigger question should be, is it right for you? Before we get into evaluating whether or not it's right for you, let's make sure you understand the process.
Debt settlement has swelled dramatically in it's popularity for debtors looking to resolve their debt situation. This has increasingly being the case since the bankruptcy laws were changed in 2005 making it much harder for consumers to take that option.
For example; if you're currently struggling on your debts, no doubt you're getting hammered with creditor phone calls. Debt settlement companies will also deflect most of that as well by dealing with your creditors on your behalf. Furthermore, if you're $90,000 in debt and making payments of about $1500.00 per month, that may be reduced to about $90,000 and 700.00 per month.
So, let's take a look at the downside of debt settlement and see if it's right for you. We already know it will relieve you of a major portion of your debt but it has its drawbacks.
Two of the drawbacks are costs of the program and damage to your credit report. The average debt settlement company will charge 15 percent or more of the total debt in fees. Their services are invaluable to most people and worth a fee. Keep in mind that generally the more they charge you the more they should be saving you.
Another drawback to debt settlement is the damage to your credit report. While you are in debt settlement, your credit is going to take a beating and don't let anybody tell you otherwise. Chances are if you're considering debt settlement or bankruptcy, your credit is already taking that beating, but if you've managed to keep your credit intact to this point and know you may want to buy a home in the next year, then debt settlement may not be the right choice for you.
After you're finished with settlement then with a focused plan you can be good as new in 6 to 12 months. While there is no replacement for good judgment and making your payments on time, debt settlement has helped hundreds of thousands of debtors get back on their feet. You just have to know if it's the correct solution for you.
http://www.content.onlypunjab.com/Article/Debt-Settlement---The-Best-Bankruptcy-Alternative-/4200320092003394254
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