Bankruptcy Can Totally Mess Up Your Credit

by John S.

Be warned, declaring bankruptcy can totally mess up your credit. After bankruptcy, it's difficult to get re-established and it took about a year for me to get a credit card again. I was surprised by how difficult things can be without a credit card. Very difficult to make reservations for example, that year that it took for me to once again obtain a credit card was a very long year. To this day, almost 7 years after the filing date, I still get turned down for credit because the bankruptcy is on my credit report, and it will be on my credit report for 10 years after the filing date.

I filed for Chapter 7 bankruptcy back in 2001. I was going through a divorce and I'm the one that got stuck with all the credit card bills, car payment and house payment. I felt I had no choice to file bankruptcy at the time because I could not possibly make all the payments. I was able to keep my car however, many people may not know this, but you can have a choice of keeping some items. In my case I choose to keep my car payment and car and did not include it in the bankruptcy.

I would suggest to anyone considering bankruptcy to see if you can get help from family first and only use bankruptcy as a last resort. Looking back on how difficult it has been to reestablish credit I would only declare bankruptcy if I had no other way of getting out from under all the debt.

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