Legal Question in Bankruptcy in Wisconsin

Life After Bankruptcy

Bankruptcy clients advise that they often are successful in restoring credit following the favorable completion of their bankruptcy cases, dependant upon several variables. The greatest seems to be how well the former clientse conduct their credit affairs, since clients who continue to have new matters going into collection after bankruptcy experience the greatest difficulties. Equally critical is the stability and size of income--frequent periods of unemployment or frequent job changes continue to have an adverse effect upon credit after bankruptcy (just like the do before bankruptcy). Health problems and disability also tend to cause credit problems. Clients who have never experienced a real estate foreclosure are frequently able to obtain favorable mortgages within a few years following conclusion of their bankruptcy cases, provided that they do not suffer from the above issues. All credit decisions, however, are the private decisions of individual lenders, and some may weigh the various factors differently than others. Stress reduction following discharge of debts and relief from depression and/or harassment from creditors also seem to produce psychological benefits for some clients, which sometimes increases their earning capacity and hence their creditworthiness.