People considering bankruptcy often worry about the impact that bankruptcy will have on their credit. Many people defer bankruptcy longer than they should fearing they will never be able to get a credit card, mortgage or car loan again. Learn the truth about bankruptcy and credit and what can be done to restore credit after bankruptcy.

The impact of bankruptcy on credit

While it is true that bankruptcy does impact credit, the impact is often not as severe as people fear. Part of the reason is that people carrying significant debt who are already behind in making payments already have a lower credit score. The impact a bankruptcy has on credit depends on a number of factors including the amount of debt people have going into bankruptcy as well as their credit score.

Cleaning up your credit report

One of the first things people can do to restore credit after bankruptcy is to make sure their credit report accurately reflects their debt. Building up credit requires people to make sure their credit reports are no longer reflecting debts that have been eliminated.

Getting credit again

People may be surprised to learn that credit can be built up in as short as 12 to 24 months. Taking advantage of the right credit opportunities and staying on top of payments can make a huge difference.

Bankruptcy attorney James L. Miller, who has been an advocate for people struggling with debt for years, has written a new book, Bounce Back From Bankruptcy In Wisconsin, that details provides real tools for people.

In the book, attorney Miller offers encouragement to people struggling with debt by providing simple tools for restoring credit.