Contact
Contact

Contact Us

Bold labels are required.

NameThis field is required.

disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

Simon, Fitzgerald, Cooke, Reed and Welch
Simon Fitzgerald, LLC
Louisiana’s Oldest Bankruptcy Law Firm
888-341-8091
Free Case Evaluation
View Our Practice Areas

Type of debt relief chosen impacts future credit report

One of the issues many people in Louisiana worry about when they face serious financial crises is how their options to resolve their money problems may affect their future. For instance, many people are concerned that once bankruptcy is listed on their credit reports, it will never go away. While it's true that bankruptcy definitely impacts a credit score, the consequences of filing for this form of debt relief are usually temporary.

How long bankruptcy remains on a credit report depends on the type of bankruptcy option chosen. Most individuals typically file either Chapter 7 or Chapter 13. The eligibility requirements for each type vary, and being eligible for one does not necessarily mean a person is also eligible for the other. Chapter 13 generally stays on a credit report for seven years.  

Chapter 7, on the other hand, remains a part of a credit report for 10 years. Chapter 13 is more of a restructuring of a financial plan, which may be why it is removed from a credit report sooner than Chapter 7, which generally involves a complete liquidation of assets. Many people choose Chapter 7 when they have exorbitant medical or credit card debt (or both).  

Remembering, as mentioned earlier, that most financial problems are temporary and knowing where to seek experienced guidance may give Louisiana residents confidence to pursue available debt relief options. People who take advantage of such options often wind up in better financial shape than they were before their initial crisis hit. Acting alongside experienced legal support can help determine which option best fits a particular situation. 

Source: nj.com, "How long will bankruptcy stay on my credit report?", Karin Price Mueller, April 24, 2018

No Comments

Leave a comment
Comment Information
Email Us For A Response

Office Locations

Shreveport Office
4700 Line Avenue, Suite 200
Shreveport, LA 71106
Phone:318-550-4873
Fax: 318-868-8966

Map & Directions

Shreveport Office

Lake Charles Office
1 Lakeshore Drive, Suite 1600
Lake Charles, LA 70629
Phone: 337-513-0290
Fax: 337-436-7333

Map & Directions

Lake Charles Office

Alexandria Office
1118 3rd Street
Alexandria, LA 71301
Phone: 318-224-0340
Fax: 318-868-8966

Map & Directions

Alexandria Office

Lafayette Office
2901 Johnston Street, Suite 202
Lafayette, LA 70503
Phone: 337-205-0492
Fax: 337-456-5465

Map & Directions

Lafayette Office