Filing bankruptcy is not something to be taken lightly.
However, building your credit back up after you've filed can be accomplished fairly quickly.
Believe it not, the act of filing for bankruptcy is an excellent first step on the road back to good credit standing.
As I said, the first step is actually filing for bankruptcy.
The discharge will liquidate all of your debt, which almost instantly increases your FICO score.
Bankruptcy acts to completely eliminate your past credit history, which makes rebuilding your credit the next step.
You will notice that many exciting, new credit card offers are going to start to appear in your mailbox.
Although this may be what got you your credit problems to begin with, you should consider accepting because in order to rebuild your credit, you must first establish it.
The reality is that in order to establish your credit rating, you have to be in a little bit of debt.
Sounds simple enough, right? You must be careful with these new cards, though.
They tend to be of the high-interest, low spending limit variety.
Keep in mind that you will be using them to rebuild your credit.
Their purpose is not to rebuild your collection of impulse purchases! However, responsibly using your new cards, paying the bills consistently on time and controlling your spending will show the credit reporting bureaus that you are not only worthy of a good FICO score, but that you are doing everything in your power to maintain your good standing.