December 2, 2022

Should I Work With a Credit Attorney After or Before Bankruptcy?

Should I Work With A Credit Attorney After or Before Bankruptcy? 

Filing for bankruptcy is stressful but this is often the only way forward and a much better option than ignoring the obvious. Working with a credit attorney can help alleviate this stress because they negotiate on your behalf and handle complex legal matters, while making sure you receive the best possible outcome. 

In short, it’s best to wait until after your bankruptcy to work with a credit attorney because credit bureaus don’t always update your report which can count as an error that an attorney can fix. 

Let’s take a closer look at credit errors and working with a credit attorney. 

The Impact of Credit Errors on Your Report 

Bankruptcy is often viewed as a way to get rid of debt and reorganize your financial situation. It’s even possible to build a better credit score than you had before the bankruptcy and much depends on the health of your credit report.

It’s true, your credit report is hugely important when it comes to so many life events such as taking out a loan, leasing a vehicle, buying a home and even getting a job. Unfortunately, credit errors do happen and these mistakes have a very adverse affect on your score which portray an inaccurate view in terms of how well you manage your credit. For instance, as a result of credit errors on your report, you may not be able to rent an apartment or get a job and lenders are likely to reject your applications for loans or credit cards. 

Thankfully, it is possible to dispute these errors and have them removed.

Disputing and Removing Errors from Your Credit Report

Credit errors can sometimes refer to mistakes in your address, date of birth or other personal information and inaccuracies on your loan or credit card accounts. This can happen when a credit report shows “balance due” for a fully paid account and when the same account appears twice on the report. 

While these mistakes are common, they can go unnoticed without a trained eye and not everyone knows where to look for such errors. For instance, as already mentioned, credit bureaus don’t always update your report which also counts as an error but this is something most people are unlikely to know. Either way, removing these errors will make a big difference to your credit score and working with a credit attorney is the best way to address the issue.

Working with a Credit Attorney After Bankruptcy 

A credit attorney will have a lot of experience in terms of spotting inaccuracies on your credit report. They know the legal process and exactly what documents need to be filed. An attorney also has the authority to represent you in court and negotiate with creditors which is a huge convenience in itself. That is to say, creditors can be rather forceful with borrowers and use sinister tactics to get what they want. Working with an attorney can protect you from such harassment as you no longer need to speak with them about the case.

Aside from the convenience and experience, working with a credit attorney will likely save you money in the long run. Your attorney will dispute every error and then negotiate on your behalf to ensure you receive the best outcome. Time is also money with bankruptcies as delays can prove costly but a credit attorney is likely to avoid common mistakes that might lead to such delays.

You have no legal obligation to hire a credit attorney but experience and legal assistance can go a long way after bankruptcy. This is also a highly stressful situation for most people and one in which a credit attorney can shoulder much of the burden. A bad credit report can affect much more than your finances but credit attorney’s deal with bankruptcy all the time and know exactly how to achieve the best outcome that can help transform your financial situation. 

Are you needing some assistance?

McCarthy Law can remove credit errors from your report and help you start rebuilding your credit score so lenders can entrust you with credit in the future. 

 

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