Bankruptcy can appear on your credit for up to ten years, but the practical affect is usually only felt for a couple years.  Because debts are permanently wiped out, the debts will stop showing as being past-due.  As a result your debt-to-income ratio will improve. Creditors also know that new debts after bankruptcy won’t be eliminated.  Most clients receive multiple credit card offers and offers for car loans after filing bankruptcy.   We caution clients to rebuild credit wisely.

Posted in: Frequently Asked Bankruptcy Questions