How will filing a chapter 7 bankruptcy or chapter 13 bankruptcy affect my credit score?
Answer Whether youre filing a chapter 7 bankruptcy or a chapter 13 bankruptcy your credit score will be reduced. The exact reduction amount is unknown. However, keep in mind two things. First, by the time most people resort to bankruptcy their credit score is already practically as low as it can go, so filing bankruptcy isnt going to reduce it by much if any at all. Second and most importantly, immediately after bankruptcy your credit score will start to repair itself or increase. You can repair your credit score after bankruptcy in the same way you initially built your credit score before bankruptcy. Some people may be able to qualify for a home mortgage within 18-24 months after filing bankruptcy and for a car loan within 6-12 months. This loans may be structured differently but nevertheless you may still qualify.
