After Bankruptcy...what now?

pug_in_a_bed

Hi

I have recently been discharged from bankruptcy after a year. Before I went bankrupt I believe i missed a few payments on credit card which I guess will show up as defaults on my credit file for starters (i need to check this, can't get into experian at the mo),a s well as the obvious big black b'ruptcy mark.

What do I need to do now: I mean, do I need to begin attempting to improve my credit score - if so by doing what? Or should I just do nothing, for the six years untill everything goes from my file? I was so elated to be discharged, its only occurred to me now to wonder about this.

Thanks for any help

idiot_3

to be honest, a couple of missed payments don't mean anything on there if you are bankrupt.

pug_in_a_bed

I know, obviously these will be in the background compared to the bankruptcy.

What I'm wondering is whether I should be doing something like getting a credit card and spending a small ammount each month and paying it off - will this really make any difference? I was thinking, if I did that, could i set up a regualr payment to a charity say, so I could be spending a small anough ammount to pay off in full every month?

pug_in_a_bed

I hope no one minds but I thought I would bump this to see if I get any more replies.
Thanks

Willsnarf1983

i can't help mate but good luck and all

Will

donnalove

wouldn't have thought you would get a credit card if you listed as bankrupt?

Ember999

I wouldn't think you will get a credit card as a newly discharged bankrupt. To be honest though, why do you want one? If getting credit in whatever form you have previously had it led you to bankruptcy, why go down that road again? Why not enjoy the feeling of being 'discharged' and just get on with your life and try to re-build it without either debt or credit cards?

Good Luck...

pug_in_a_bed

Believe me I don't! But I keep reading conflicting info about repairing my credit rating and to be honest I havent got a clue whether this is something I am supposed to be attempting to do...?

I am happy to just move on, I don't have a mortgage or a car or anything like that, its highly unlikely that either of those expensive things are to happen in the next 6-8 years...I was just beginning to be horribly confused by all the info available!

Thanks for the replies all

Pal

Two things you can do:

- Save as much as you can each month into a high interest savings account. You are not going to be able to get any credit until the bankruptcy disappears from your credit record (six years?), so you need to save for anything that might come up. It is more important now that you have an emergency fund in the bank than it was before because there are no CCs or loans to fall back on and everything you spend has to come from cashflow or savings.

- It is highly unlikely that you are going to be able to get a decent mortgage at any time in the future, even after six years, as mortgage companies ask about historical bankruptcies long after it has vanished from your credit records. Any mortgage you can get will therefore cost you a lot more in interest payments, so if you want to buy in a few years time you should get as big a deposit together as you possibly can.

In a few years time someone will offer you credit again, which might be worth taking out in order to help your records along, but for now you just need to save a lot.

newfunk

Im due to be released from bankruptcy( soundslike Im inside lol) In march 06 after 3 years! I whave to agree with Pal... Im gonna save like mad, as I know I cant get CC if hit hard times(not that i want one)..Im lucky in the fact My OH is able to get CC if needed, but I have warned her about them, U need to be so disciplined to have one..

I dont think i will ever get credit again, unless i decide to buy a house in the future..
You need to have money in the building society, so you can get at it, should the washing machine/tv decide to pack up!!

pug_in_a_bed

Cheers for this everyone.

I have applied for a savings account with my own bank the co op who wouldn't give me one. I am about to apply through the portman as per your suggestion a little while ago Newfunk, so hopefully that will work out ok:)