bankruptcy question.......?

Question

Does anyone know the procedures, I dont know if the laws changed in nevada or not and me and my husband are going to file. We have a consultation next week. How long does it take until your credit can be better?

Answer 1

If you file bankruptcy, it can take 7-10 years before your credit improves. I would only use it as a last LAST resort. Is there anyway you can work with your creditors on your own to improve your situation? You'd be surprised what they're willing to do. Also, if you do file, make sure you do the one where you pay it back, you'll be better off. But be prepared not to get any credit anywhere, muchless buy a house or car, until it's all paid off and not on your credit. Be weary of 'credit counselors' also and 'debt consolidation'. That will reflect negatively on your credit as well. I'm not an expert, but these are the things I've heard from various financial experts (you should get Dave Ramsey's book--it's faboulous and gives you tips and an outline on how to become debt free).
Good luck to you! ;)
PS: You can also call Dave Ramsey's show to get advice. Here's his website: www.daveramsey.com

Answer 2

The new Bk law requires that a bankruptcy be reported as a public record meaning that anytime a lender or a credit report is pulled and your credit is checked in the first section under your name it will show that BK forever. some employers can deny promotions if a BK is found to have been filed.

Many debt management programs have been recommended by judges in many states to prevent BK's. The new law mandates that you go through some sort of counseling program for at least six months prior to filling and additionally you must pass a means test.

Just to let you know in the means test cell phone bills and cable are luxury items that won't fit into your budget.

Wikipedia provides good information for debt settlement and debt counseling programs. You should have a consultation there before you even consider a BK.

Answer 3

The laws changed nationwide a bit over a year ago (October, 05). Filing costs more, so it's more expensive to go through, and then you are also required to still pay off a portion of what you are in debt with. You have to go through debt counsling classes,

It can take 7-10 years to be "cleared", but it can last on your credit report longer than that.

Here's the laws: http://bankruptcy.findlaw.com/bankruptcy/bankruptcy-chapter-7/

Expect that you will be repaying some of it, and it will still cost you quite a bit to do. I know before the law went into effect, it wasn't uncommon to cost $800-1200 just to get it filed and taken care of (with a lawyer- I do not recommend doing it on your own unless you know and understand bankruptcy laws, exemptions, etc). Fee raises and increased costs have caused this to raise considerably. Classes in debt counsling will likely cost you money, too.

Answer 4

It is good idea that your asking questions now,I filed in October 05 dicharged February 06 now in December my fico scores are 685,705,692 not the best but they will get better. I started by cleaning my reports before filing then I get this book Life after bankruptcy and increase your credit score improve your lifestyle. If you plan you will be fine in 6 months or 1 year.Consult with credit advisors and get the books above.Albert

Answer 5

Hi there, I have a resource regarding what you need to know before filing bankruptcy

http://www.newhorizon.org/Info/before-you-file-bankruptcy.htm

this helped a lot when I was in the same situation like yours
goodluck and have a blessed day

Answer 6

Your thinking too far ahead. First file bankruptcy and once your bankruptcy has been discharged then you can slowly start to rebuild your credit.

Answer 7

until you get more money

hope this helps :)