338 Elm Street, Gardner, MA 01440
LaRoche Law

Credit Effects from Bankruptcy in Massachusetts

More than 20 years’ experience minimizing damage to credit reports

Nearly everyone considering bankruptcy has the same question in mind: how will filing bankruptcy affect my credit? There is no doubt that having a bankruptcy filing on your credit report may negatively affect your credit and interfere with your attempts to obtain a new loan or mortgage. However, a bankruptcy filing also shows that you took financial responsibility in a timely fashion. Our seasoned bankruptcy lawyers at LaRoche Law can mitigate the damage to your bankruptcy credit scores and stop harassing phone calls from Orange debt collection agencies. Millions of people file for bankruptcy for a variety of reasons. A divorce, a job loss, an auto accident or an expensive medical procedure can leave you with no other viable option. We recognize that these events happen to reasonable, prudent individuals, and we know that filing for bankruptcy helps many people get back on track.

Bankruptcy is not a permanent black mark on your record

The majority of people considering a bankruptcy filing already have bad credit. With numerous debts, high balances and interest rates, it is no wonder that bankruptcy may be the best option. It allows you to clear all debts and start on the road to building a new, debt-free life. Generally, a Chapter 7 bankruptcy remains on your credit report for ten years and a Chapter 13 bankruptcy remains for seven years from the date of filing. It is crucial to remember that credit history is not the only factor lending institutions analyze in determining whether or not to approve a loan. The single most important factor is an applicant’s income. While your loan may require a higher principle payment or monthly interest than one granted to someone without a prior bankruptcy filing, you are likely to be approved if you have a stable income.

Tips for improving your credit

Whether or not you have filed for bankruptcy, it is wise always to try to maintain good credit. Here are some tips for improving your credit:

  • Use credit cards as a last resort
  • Attend credit counseling
  • Establish and maintain a family budget
  • Prioritize paying off credit card balances to avoid interest fees
  • Try to put money away for emergencies
  • Set up payment reminders

At LaRoche Law, our bankruptcy lawyers have helped people throughout Worcester County improve their credit for more than 20 years. If you have Massachusetts bankruptcy questions, we have answers.

Your first meeting is free

At LaRoche Law, we understand the problems you face, and we are here to help. Paul A. LaRoche personally meets with each client and promptly returns all phone calls and e-mails. We are delighted to answer your questions before, during and after your bankruptcy filing. Contact us online or call 978-754-3564 today to set up your initial consultation at no charge.

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