Declared Bankruptcy? Here’s How To Rebuild Credit

Rebuild Credit

Many people view bankruptcy as a last resort. When people can no longer provide the money they owe regularly to pay off their debts, they are forced into bankruptcy, which can devastatingly destroy someones credit. However, with years of hard work and a few smart moves – your credit can be rebuilt. Here’s how:

Speak With An Accountant Regularly

Having a financial guru to help you not only correct your mistakes, but also assist you in the future to not make them again is a vital part of repairing your credit. An accountant will be able to help you look over your spending habits, and help you remove some of the debts your currently owe in order to stick to a better budget.

Pay Off Credit Card Monthly

Only put on your credit card what you will without a doubt be able to pay off at the end of the month. Carrying debt over from prior months can accrue interest, making your bill way more than it should be due to interest.

Create A Savings Account

Instead of relying on your credit card to make large or unexpected purchase, it is better to be building an ever-growing savings account. This way, if something were to happen or a large purchase needed to be made, the money is available, no strings attached.

Change Your Habits

To take control of your credit and get out of bankruptcy, it is important to identify the errors you made before, and work on them. Get used to paying off your credit card in full, and learn to avoid the temptation of using your credit to make purchases.

Looking for more tricks to rebuilding credit? Give us a call at (602) 375-5251 to schedule an appointment.

Chris Hacker
Chris has been working in the bookkeeping and accounting field for over 15 years preparing business, income and payroll taxes. Chris has a bachelor’s degree from Arizona State and is an Enrolled Agent with the Internal Revenue Service.