Coming to terms with the fact that your financial hardships will require significant intervention to correct may leave you feeling discouraged and uncertain. Fortunately, if you choose to file for bankruptcy in New Jersey, your decision does not mean you will never be financially stable ever again.
While bankruptcy will undoubtedly affect various segments of your life such as getting a loan for a home, with guided and focused goal setting and a commitment to develop healthier financial habits, you may still experience the pride of owning a home.
Bankruptcy and requesting a loan
The time in which you are eligible to apply for a home loan after having gone through bankruptcy will vary depending on the type of bankruptcy protection you filed for, as well as the type of home loan you applied for. According to Experian.com, your bankruptcy may impact your ability to get a loan, build your credit and participate in various financial things for up to 10 years after the initial filing.
You can optimize your effort to get a home loan with a bankruptcy on your record by implementing a budget where you record in detail the expenditures you make, the money you save and the financial goals you desire to reach. Opening a new line of credit where you make reasonable purchases and pay back the debts in a timely manner is an excellent way to slowly rebuild your credit score which may help you secure a loan sooner than later.
Bankruptcy is just the start
Contrary to what some may think, bankruptcy is not a complete solution. While it may lessen the stress you feel about paying back overwhelming debt, doing nothing about your current situation may only set you back more and put your future at risk. Keep the perspective that filing for bankruptcy is a fresh start, but immediately implement changes to support your goal to become financially stable and debt-free.