Credit Cards And Rebuilding Your Credit

Credit Cards and Rebuilding Your Credit After Chapter 7 Bankruptcy in Killeen & Waco

Did you know that credit card debt is one of the biggest reasons people file bankruptcy cases each year? While receiving a bankruptcy discharge can be a huge relief, please be careful as you attempt to re-establish your credit, especially with credit cards. Remember, the interest rates are always terribly high, especially after a bankruptcy. Additionally, credit card companies can raise your interest rates at any time (although they are required by law to give you advance notice). Here are a few things to keep in mind as you attempt to rebuild your credit after you receive your bankruptcy discharge.

First, do not take the first credit card that is offered to you after your case is filed or after you receive your bankruptcy discharge. Even though you are now debt-free (except for your house/rent payments, utilities, and vehicle expenses), you are still financially vulnerable. Unless you received a substantial raise after your discharge or you change jobs, you are still earning the same salary that you were earning prior to the bankruptcy filing. You also probably have very little savings. Take some time to rebuild your savings account. Catch your breath and enjoy being debt-free! Generations before lived very fruitful lives without credit card debt. There is plenty of time to obtain a new credit card.

Understanding the Bankruptcy Process: Your Path to Financial Recovery

Navigating the bankruptcy process can be overwhelming, but understanding its stages can empower you to make informed decisions. At Erin Baker Shank, PC, we believe that knowledge is key to regaining control over your financial future. Our team is dedicated to guiding you through each step, ensuring you understand what to expect and how to prepare.

The bankruptcy process generally involves the following stages:

  • Initial Consultation: Discuss your financial situation with our experienced attorneys to determine the best course of action.
  • Filing for Bankruptcy: We assist you in compiling the necessary documentation and filing your petition to initiate the bankruptcy process.
  • Automatic Stay: Once filed, an automatic stay goes into effect, halting collections and giving you breathing room.
  • Credit Counseling: Mandatory credit counseling helps you explore alternatives and prepares you for the financial responsibilities ahead.
  • Discharge of Debts: After fulfilling the necessary requirements, your debts are discharged, allowing you to start fresh.

By understanding these stages, you can approach your bankruptcy journey with confidence. Our dedicated team is here to support you every step of the way, ensuring you have the resources and knowledge needed to rebuild your financial health.

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Listen to Erin Answer Your Questions!

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What Our Clients Say

Real Stories from People We've Helped Through Financial Hardship

At Erin Baker Shank, P.C., your satisfaction is our priority! See for yourself what our clients have to say about working with us.

    “I highly recommend her for anyone's bankruptcy needs as she never makes you feel ashamed for needing help.”
    Ms. Shank and her associates, particularly Sharlyn, are very professional and knowledgeable regarding bankruptcy law. Anytime we have had a question or concern, they have addressed it promptly and honestly. I chose Ms. Shank's office after watching her videos on her website. She struck me as an honest, caring person and I have found that to be the absolute truth. I cannot say enough good things about Ms. Shank and her associates.
    Lisa B.
    “Choose them, you cannot go wrong in that!”
    A grumpy company decided not to negotiate a reduced settlement like the other 5 companies did, this caused us to be forced into choosing a lawyer for filing bankruptcy. My wife and I are extremely pleased with our wonderful Lawyer and her staff. Erin B Shank and her team handled the process with little hardship to us, they made processing the mountain of paperwork seem so simple. The resulting discharge of our debts lifted a heavy weight from our shoulders. If you find yourselves in need of a Lawyer Erin and her team are the best I have dealt with.
    Michael S.
    “Thank you so much! We are extremely grateful for everything you’ve done for us.”
    Ms. Shank and Sharlyn were absolutely fantastic! Very helpful, and knowledgeable and answered any questions or concerns we had. They truly pulled off a miracle. If you’re thinking of filing for bankruptcy, Ms. Shank is the woman for the job.
    Monique K.
    “To anyone, military or civilian, who are needing a quality Bankruptcy attorney look no further than Erin B. Shank!! You'll be glad you did, I know I am!!”
    I shopped around for a Bankruptcy attorney who would listen to my needs. As I am a retired military member of the U.S. Army, the staff at Erin B Shanks Office were friendly, personable, and knowledgeable. From beginning to end, the staff at Erin B Shank makes the process painless and easy. They answered all my questions and helped me when I did encounter a problem.
    Aaron C.
  • AVVO 9.1
  • AVVO client choice 2014
  • AVVO 9.6 bankruptcy
  • The College of the state bar of Texas
  • AVVO Reviews
  • Client Champion
  • AV Preeminent
  • Greater Waco Chamber

Make Informed Financial Decisions Post-Discharge

Everyone is anxious to start rebuilding their credit after they have received a bankruptcy discharge. However, it is better to be careful and deliberate to make sure that you are making sound financial decisions as you begin your financial fresh start.

Contact Us for Personalized Financial Guidance in Killeen & Waco

Learn more about how we can help you by contacting us online or calling (254) 690-4110 today!

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