Does Your Credit Score Go Up After Chapter 13 Discharge?
What happens to your credit score after Chapter 13 discharge? In most instances after you file for Chapter 13 Bankruptcy your credit score will see impacts for up to 5 years. After your discharge from the Chapter 13 Bankruptcy, there will remain accounts. These accounts were current prior to the bankruptcy filing, for a period of up to 7 years. This will result in a potentially negative impact on your credit score. Even though your Chapter 13 Bankruptcy discharge may be fully complete.
Average Credit Score After Chapter 13 Discharge
Your credit score after a Chapter 13 Bankruptcy discharge will vary. Your new score will depend on how good or bad your credit score was prior to the filing of the Chapter 13 Bankruptcy. For most individuals, you can expect to see quite a dip in your overall credit score. This is a common result, when you have any type of bankruptcy attached to your credit report. It’s best to proactively address the issues which first caused the Chapter 13 Bankruptcy. Then take the proper steps to ensure it doesn’t occur again.
How to Clean Up My Credit Score After Chapter 13 Discharge?
As mentioned above, being proactive in repairing your credit score goes a long way in bettering your overall score. Some steps to take consist of:
- Reducing credit utilization ratio
- Making on-time payments every month
- Actively reducing overall debt
- Establishing new lines of credit and managing them appropriately
- Allowing time in the form of “account age” to help credit score
Choosing Peoples Bank Mortgage for Assistance
When you choose Peoples Bank Mortgage for assistance in Chapter 13 Bankruptcy Discharges, you’re choosing a company which wants to ensure your success across the board. We have the team of experts which will guide you every step of the way to have you back on track with your Chapter 13 Bankruptcy, credit score repair, and Chapter 13 discharge.
Peoples Bank Mortgage has helped many individuals just like you, to improve their credit score on the way to purchasing/refinancing a new home. We’re very interested in learning more about your unique situation. Feel free to contact us to learn more about our valuable offerings and how we can be of assistance to you. We’ll be sure to respond to your inquiry as soon as possible and we look forward to hearing from you soon!