Low Credit Score from a Credit Report? How to Improve it With an Aurora Bankruptcy Lawyer

Learn how to improve a low credit score by filing for bankruptcy in Colorado.

Low credit scores in Aurora and Denver are challenging, and many times make you feel like you can’t manage your debt well. The reality is: debt is never easy to manage, no matter who you are. Continue reading to find out more on low credit scores and how to improve them with a Chapter 7 or Chapter 13 bankruptcy filing.

What is a Credit Score in Highlands Ranch?

A credit score in Highlands Ranch is a number that’s determined by information in your credit report.

Some of what’s inside your credit report is your:

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Payment History

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Types of Credit Used

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Amount of Debt You Owe

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New Credit

Your payment history (foreclosures, repossessions), types of credit used (credit cards, retail, mortgage loans), new credit, and the amount of debt you owe (accounts with balances, use of credit line, etc.) are all important to determine your credit score. A credit score usually ranges between 300 and 850. A credit score is used for lenders to see how financially responsible you are before qualifying for a loan or extension of credit. The most common credit score used is called a FICO (Fair Isaac Corporation) score. Credit scores should be checked regularly to be sure they’re accurate. They may even show you signs of identity theft or mistakes of creditors. It’s surprisingly common for there to be mistakes in your credit report.

Low Credit Scores in Lone Tree: Not the End of the World

Having a low credit score is nothing to feel ashamed of.

Many people think having a low credit score in Lone Tree and Centennial means they don’t know how to manage their money well. This is a myth. A low credit score is definitely a challenging thing to face. But, it doesn’t mean you should be discouraged. If you have a low credit score, you may be struggling with debt and that’s OK. I’ve helped countless families rebuild their credit scores by filing Chapter 7 or Chapter 13 bankruptcy. However, I know you still may be thinking: “Won’t receiving a bankruptcy discharge negatively affect my credit score?”

How Filing Chapter 7 or Chapter 13 Bankruptcy in Littleton Can Help

Despite what you may think, filing Chapter 7 or Chapter 13 bankruptcy in Denver or Littleton are good options. Though your bankruptcy filing will be added to your credit report, you’ll still be released from financial burdens. This will help rebuild your low credit score. Filing Chapter 7 will cancel your debts while Chapter 13 bankruptcy will reorganize them. The main thing is that you can start over financially. You can take complete control of your finances. Waiting too long to file for bankruptcy could mean more late bill payments or defaulting on current debts to pay off heavy debt.

Rebuild Your Credit Score: Contact a Denver Bankruptcy Lawyer

Having a low credit score can take a toll on how you see yourself. A low credit score is hindering and sometimes makes you feel like you’ll be stuck in debt forever. However, there is always hope. If you are struggling with excessive debt and need a way out, contact my office immediately. I will help you take control of your debt and rebuild your low credit score.

If you are struggling with debt and wondering what a Chapter 7 or Chapter 13 Bankruptcy could do to relieve your financial burdens, call the best  Denver bankruptcy lawyer Barry Arrington at 303-205-7870 for your best fresh start.

 Image Courtesy of Stuart Miles / FreeDigitalPhotos.net

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