Ohio bankruptcy offers unique advantages that other debt relief options do not. Often exiting bankruptcy with a clean slate and the best chance at a bright credit score future, consumers are urged to take full advantage of their new position. Now is the time to take charge and set out on a path to a strong financial footing. Here is how:
1. Check your credit report — before considering credit or making any financial plans, check your credit report. Not all lenders update the information right away and you could have inaccurate information on your report. Be sure your report reflects the discharged balances, otherwise request for your creditor to update the information right away.
2. Create a budget — it is now more important than ever to have a close eye on your finances. Write down your accounts, monthly payments and due dates. If you are considering adding a new expense, be sure to include an estimate of that expense to ensure your income will be able to support that payment. Remember that credit accounts may be paid off now, but that if you plan to use them in the future they need a spot allocated in your budget.
3. Prioritize saving — having an emergency fund is crucial for financial success. If you don’t have a savings, start one immediately and make saving money a priority before you embark on any use of credit. Saving money should be an ongoing process and you should never miss putting a payment into your savings on any given month.
4. Examine your credit accounts — you may have some accounts that now carry a zero balance, but that doesn’t mean you should start making purchases right away. Having open accounts with a zero balance for several months can actually boost your credit score faster than ever. If you already have one or two unsecured lines open, consider letting them work for you before you borrow again.