Bankruptcy or Foreclosures
How Does Bankruptcy or Foreclosures Affect My Credit Score?
While bankruptcy or foreclosure can negatively affect your credit score, it affects only 35% of your credit score, leaving 65% to work with. You can still work to reestablish the remaining 65% by making certain you have more than 50% of your available credit available, keep your oldest credit accounts open, ensure that there are no more than 4 inquiries on your credit in any 6 month period and that the type of credit you have is not from questionable lenders.
It may take some time to get your credit back on track, but the sooner you do, the better off you’ll be. A major issue with bankruptcy and foreclosure is that traditional credit repair will not help repair your credit, since its primarily concerned with removing negative items from your report. Since bankruptcy and foreclosure cannot be removed from your credit right away, it’s important to focus on what you can fix. To do this, it’s best to get the help of a Credit Score Professional. Credit Score Professionals know the proper ways to assist you in strengthening your credit score and overcome some of the negativity a bankruptcy or foreclosure cause.