Short Answer: 10 years
While it is true that individuals that have filed a bankruptcy petition confront a difficult time for obtaining credit, at least in the first few months after bankruptcy. most of the time this time period is very short lived. One of the largest credit bureaus in the United States has released data that individuals who filed for bankruptcy are indeed penalized with some credit limitations post bankruptcy. But that 90% of those same individuals have access to credit in the 18 months after their filing. 75% are in fact given unsecured lines of credit within that same time period. A study released by the Federal Reserve Bank of Boston shows that individuals who have previously shown the least ability and least propensity to repay their debt, are IN FACT having an easier time receiving credit post bankruptcy. The study goes on to report that a significant portion of individuals at the lower rungs of the credit score strata seem to get even more credit after filing. So, while the bankruptcy filing will “be on” your credit report for 10 years, it’s effect will most likely be felt only in the first few months after filing. In my practice I have seen an almost immediate deluge of credit card applications and automobile dealership flyers all aimed at my bankruptcy filers.
If you or your family needs to get out from a mountain of debt or protect you and your family’s future, you need to speak with an experienced, empathetic, and knowledgeable attorney like the ones at Chris Wesner Law Office, LLC. Give us a call to set up an in person or telephone conference for FREE. That’s right, FREE. Our initial consultation is 100% FREE, with NO STRINGS attached. There is NO FEE if you decide that bankruptcy is not for you. In fact, we OFTEN encourage our clients NOT to file bankruptcy.
Chris Wesner Law Office, LLC has offices throughout the Miami Valley including: Dayton, Xenia, Springfield, Troy, and Piqua with other offices expected to be coming soon like Sidney and Hamilton.
Source: Forgive and Forget: Who Gets Credit After Bankruptcy and Why!?