Bankruptcy filings typically stay on your credit report for a period of ten (10) years.
However some people wonder if that means that they can't borrow money for ten (10) years -
and it does NOT!
Just because bankruptcy is on your credit report that doesn't meant that you won't be
Think of a credit report as a financial diary, that tells creditors who are thinking of lending
you money what you have done over the last seven - ten years.
If you work hard to reestablish your credit rating,
what you did a few years ago weighs less against you.
In order to improve your credit scores, you must
pay all bills on time.
As a general rule, you should try not incur debt at all. However some people
say you might want to start using credit cards or loans to start to rebuild credit. If you do, you shouldn't
build up debt you can't repay! Using a card to buy something and having the money saved to pay it back is one thing,
but getting back into debt is another. Don't max out any open lines of credit you get.
If you want to buy a house or a car, save up a down payment. Many of the problems with the housing crisis could have
been avoided if people had put a large enough downpayment on their house to have flexibility to sell if they needed to.
For more information, you can read some more articles:
Is Your Credit Score Ruined By Bankruptcy?
Know Your [Fico Score] Numbers - Credit Scores
Why You Should Not Rely On A Debt Management Plan Or Credit Counseling To Protect Your Credit.
What About Credit Counseling?