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How does filing under chapter 7 affect a person’s credit rating?

April 26, 2017affect chapter 7 Credit rating filing person

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How does filing under chapter 7 affect a person’s credit rating?

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It will usually worsen it, if that is possible. However, some financial institutions openly solicit business from persons who have recently filed under chapter 7, apparently because it will be at least six years before they can again file under chapter 7. If there are compelling reasons for filing under chapter 7 that are not within the debtor’s control (such as an illness or an injury), some credit rating agencies may take that into account in rating the debtor’s credit after filing.