You will be in good hands if you file bankruptcy with a skilled, North Chicago bankruptcy attorney. He may need additional items or documentation from you prior to filing. So, depending on how long it takes a person to complete these things and also any other information that may be needed, such as a comparative market analysis for a property or profit and loss statements for a person’s company, which they are entitled to because they are self-employed through that company, those are also other things. The actual time it takes to finish the bankruptcy process could be about a year, depending on the person’s ability to gather up all the information before the actual filing of the bankruptcy case. So in general, after the filed Chapter 7 or Chapter 13 bankruptcy, it usually takes three to four months for a Chapter 7 and a Chapter 13 will be 36 to 60 months, which is three to five years for the Chapter 13.
If I file a bankruptcy, does it mean by whole bad debts are erased from my credit report? No. Bankruptcy is not going to erase old bad debts from your credit report. What bankruptcy does do is stay on your credit report stating that bankruptcy was filed at a certain date. The bankruptcy itself does not repair or improve your credit record or credit reports. However, bankruptcy is going to stay on your credit report for roughly seven years. It is for this reason that many people take efforts of avoiding bankruptcy. They are overly concerned with their credit score.
The way for someone to improve their credit reports is to pay debts on time after the bankruptcy case has been filed and closed. So the best way for a person to improve their credit report after bankruptcy is to pay their utility bills on time, pay any cable bills or car bills on time, and if one decides to obtain a credit card or medical bills or payday loans or anything of that nature, then paying off the balance in full every month will greatly improve your credit report and credit rating. There are many ways to improve your credit report after you file bankruptcy and receive a discharge, but the best way to do it is to pay your bills on time after the bankruptcy has been closed.
If you are really interested in filing for bankruptcy relief, learn all that you can about each chapter before making a final decision. Make sure you learn all of your bankruptcy options. There are some attorneys that will try to put you into a chapter that benefits them and not you.