4 good ways to increase your credit score after bankruptcy in Las Vegas

Won’t bankruptcy ruin my credit score?  Initially it will have a negative impact.  But over time you can rebuild your credit score.  Which is much more difficult to do if you never file for bankruptcy and remain under a large debt burden.

Here are 4 good ways to increase your credit score after bankruptcy in Las Vegas:

1.  Use your debit cards.

Instead of using credit cards, use debit cards for more of your purchases.  This makes it easier to do electronic transactions without having to incur debt and potentially high fees.  And making use of a debit card in a responsible way still reflects positively in your credit report.  Debt that you don’t pay back on the other hand will have a negative impact.

2.  Limit your credit cards

Never have more than one or two credit cards at the most.  One that you use.  And a second as a back-up in case you lose the first one.  We know it’s hard to function in today’s world without a credit card.  Some places don’t even take cash anymore.  And using a credit card responsibly does help improve your credit score.  But having too many just makes it easy to transfer balances and run up bigger debts with the thought that you’ll just deal with it later.  A perfect recipe for getting back into debt trouble.

3.  Cash is king

If you use cash, then there’s no borrowing, no interest, no penalties, no negative impact on your credit score.  It’s as simple as that.  Plus, when you use cash, you feel it.  You know you’re spending.  And that doesn’t always feel good.  But there’s a reason our bodies feel pain:  it’s a signal to stop doing what you’re doing.  Awareness is a good thing!

4.  Avoid the credit card way of life

One of the biggest debt problems comes from trying to keep up with the Joneses and live the high life, even when you can’t afford to.  Need a car so you can get to work?  That’s a loan you might need to take out.  Want to go out to a fancy dinner or on a nice vacation or buy the latest smart phone?  Don’t take out loans for these.  These need to be purchased with saved money.  Otherwise you risk fall right back into the debt trap that brought you here.

Questions about credit scores and what happens after bankruptcy?  Please contact an experienced Haines & Krieger Las Vegas bankruptcy attorney for a free initial consultation by calling 702-880-5554.

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