How to Get a Bankruptcy Off Your Credit Record

There are two types of personal bankruptcy, a Chapter 7 liquidation and a Chapter 13 repayment plan. Both will remain on a credit report at least 10 years from the date of dismissal or discharge. A dismissal means that the case has been thrown out of bankruptcy court before completion, so the debtor's debts have not been discharged. A bankruptcy discharge means that the bankruptcy has been successful and the debtor's debts have now been discharged per the terms of the bankruptcy case. While both types of bankruptcy will remain on your credit report, you can still take steps to raise your credit score.

Instructions

1. Search for a bank or bank or credit union that will issue a credit card to you following the dismissal or discharge of your bankruptcy case. Interest rates will be high and credit limits will be low, but building a credit history will help raise your credit score. Therefore, it is necessary to begin using credit again after bankruptcy.

2. Charge groceries, gasoline or daily living expenses on your credit card. It's not enough to just have the credit card open, you must actively use the credit card to raise your credit score. Pay off the card in full every month and never carry a balance on the card. This will help you avoid high interest rates. Do not pay the minimum payment due because this does not help your credit record.

3. Monitor your credit report. You are entitled to receive a free credit report every year from each credit bureau. Go to the government-sponsored website, www.annualcreditreport.com to check your credit record for any mistakes or fraudulent activity.

References

• National Foundation for Credit Counseling: Bankruptcy Counseling
• U.S. Courts: Chapter 13 Bankruptcy