If you have debts you cannot pay, you may be considering bankruptcy. Although bankruptcy can help you to dramatically reduce or even eliminate these debts, it will hurt your credit. In fact, bankruptcy can stay on your credit report for as long as ten years, and it is sure to lower your score.

Below are some tips to help you raise your credit score after bankruptcy.

Credit Score Concept on Laptop

1. Obtain a secured credit card.

Shortly after filing for bankruptcy, it will be nearly impossible to qualify for an unsecured credit card. However, you may be able to qualify for a secured credit card or a credit card issued by a retail establishment. Apply for this type of credit to begin rebuilding your score.

2. Use credit wisely.

Once you are able to get your first credit card, use it responsibly at all times. Never pay your bill late, and avoid running up the balance. Instead, keep the balance low and pay the bill each month. If you are worried that you will forget to pay your credit card bill, sign up for automatic payments and/or automated due date reminders.

3. Ask someone to add you as an authorized user.

If you have a friend or family member who wants to help you rebuild your credit and has a history of making on-time payments, ask him or her to add you as an authorized user on a credit account. Your credit score will improve because of this individual’s positive payment history. However, it is important to keep in mind that any bad decisions made by your friend or family member on this account could have a negative effect on your score. For this reason, you should use this strategy only if you are reasonably sure that primary account holder will make all of the payments on time.

4. Monitor your credit report.

Another way to make sure your credit score increases as quickly as possible is to keep a close eye on your credit report. If you see any errors or inaccuracies, report them to the credit bureaus as soon as possible so they can be removed.

5. Gradually add to your credit profile.

As your credit score begins to increase, you will be able to qualify for more accounts. While it isn’t a good idea to open too many credit accounts at once, you should gradually add accounts to your profile over time. Keep your credit utilization rates low, and make sure you always make your payments on time no matter how many accounts you have open.

Bankruptcy may be harmful to your credit, but following the tips above will help you rebuild your score as quickly as possible. If you are preparing to file bankruptcy, or if you want to learn more about your debt relief options, you need help from qualified bankruptcy attorneys in Atlanta. Please contact us today to make an appointment.