It’s been a difficult time, but your personal bankruptcy is now history. With that issue behind you, it’s time to start thinking about the future. One of the ways that you can begin this new phase of your life is securing one of the bankruptcy loans that’s on the market today. Why is now a good time to think about securing a loan? These five reasons apply in many cases.
It’s Time To Start Rebuilding Your Credit Rating
Personal bankruptcy does leave your credit score at a less than desirable level. Considering how long the bankruptcy will remain on your credit history, it makes sense to check into bad credit loans from MagicalCredit.ca as one way to begin adding positive comments to those reports.
To get the most out of this approach, seek out lenders who regularly report to the major agencies. The goal is to ensure that they report your timely payment history. Little by little, those positive comments will help your score to increase. By the time you settle the loan in full, your score should be noticeably higher.
There Were Things That Had To Wait Until Your Bankruptcy Was Over
Bankruptcy is not a time when people normally take on more debt. That means making do with what you have until the court discharges the bankruptcy. Perhaps you wanted a newer vehicle, but kept the old one running as a way to avoid incurring any debt. There may be repairs around the house that you wanted to do, but they were not critical. Whatever you chose to delay while in bankruptcy, you can now begin to take care of those things one by one.
Prioritize those tasks and secure a loan that will cover the costs of the top two line items. Pay off the loan, then shoot for a second loan to take care of a couple more. Over the next two or three years, all those things that had to wait will finally be completed. In the meantime, you’re establishing a positive payment history that will make you increasingly attractive to a wider range of lenders.
The Fact That You Owe Nothing Is Attractive to Some Lenders
There are certainly lenders who will not talk with you until the bankruptcy discharge is at least a year old. Others will be willing to work with you now. Why? The fact that you’ve emerged from bankruptcy without any type of unsecured debt and maybe nothing more than a mortgage indicates you’re worth the risk.
Remember that the lenders who are willing to work with you now are likely to offer high-risk loans. Expect to pay a higher rate of interest and possibly some additional fees. Even so, you’re likely to have enough options to compare offers and settle on the one that fits your needs best.
You’ve Developed Better Money Management Skills
Part of the conditions set by the court for approving your bankruptcy petition involved taking courses in financial planning and management. Those courses had to be approved by the court. You put what was learned in those classes to good use while the bankruptcy was active. Now that it’s discharged, you’ll continue to utilize those skills and strategies.
Thanks to what you’ve learned and put into practice, there are money management skills and habits that weren’t there before. Hopefully, the mistakes made in the past will not be repeated. By managing the loan responsibly, you take a few steps forward in terms of laying a foundation for a stable financial future.
You’d Like To Move Forward With Your Life’s Goals
Some of your goals had to be put on hold until the bankruptcy was discharged. That’s not necessarily a bad thing, since it gave you time to evaluate those goals and decide if they still apply today. Whether the same goal are still relevant or if your experience has led to the formation of new goals, being free of the bankruptcy positions you to start pursuing your future again.
At least some of those goals will require an infusion of cash. That’s where a loan comes into the picture. A decent loan that’s managed properly helps you achieve at least some steps toward fulfilling a goal.
Take a good look at where you are right this minute. With the weight of past debt now off your shoulders, where will you go from here? Identify something that you want to accomplish and determine how much money you will need. Seek out a lender who is willing to work with you and commit to achieving that one goal. Your success will empower you to take on other aims even as you recover your financial health.
This content is sponsored by Mike John.