yes and no. If you don't' keep them; they will show up on your credit report as foreclosure and repo. However, if you keep them and keep paying; they won't keep updating your credit report with positive info- because, the debt was discharged. It's a double edge sword.
If you are surrendering your house anyways, it is usually better for your credit score if you do it through bankruptcy. If your house is foreclosed on before you file bankruptcy, then your credit score is hit by both the foreclosure and the bankruptcy. If you let your house go back through bankruptcy, instead, then your credit score is only hit by a bankruptcy.
If by then, the consumer has establised a good payment history it may. Bankruptcy is forever. Regardless of the removal from a CR, there will always be record of it, and it can continue to cause a consumer financial problems. The previous answer is actually quite misleading. In terms of credit and credit reporting, the bankruptcy coming off will immediately improve your score, usually in the neighborhood of 75-150 points. Of course a lot entails what you did with your credit since the bankruptcy was discharged. As far as "bankruptcy being forever," yes, there is a public record out there. And yes, it could hurt you in terms of gaining employment at a high salary or taking out a high-end mortgage on a house. In terms of car loans, credit cards, low-end house mortgages, etc., the bankruptcy will have absolutely no bearing on your situation. Good luck.
That is up to the person filing the bankruptcy. You can include or omit any debt that you choose.
==Answer == Not in any way. Your credit rating is only determined by how YOU handle your credit on anything that is in your name.
A person that files for bankruptcy will more than likely have their credit score decline. This will not make them a good candidate for being a cosigner.
If you are surrendering your house anyways, it is usually better for your credit score if you do it through bankruptcy. If your house is foreclosed on before you file bankruptcy, then your credit score is hit by both the foreclosure and the bankruptcy. If you let your house go back through bankruptcy, instead, then your credit score is only hit by a bankruptcy.
If by then, the consumer has establised a good payment history it may. Bankruptcy is forever. Regardless of the removal from a CR, there will always be record of it, and it can continue to cause a consumer financial problems. The previous answer is actually quite misleading. In terms of credit and credit reporting, the bankruptcy coming off will immediately improve your score, usually in the neighborhood of 75-150 points. Of course a lot entails what you did with your credit since the bankruptcy was discharged. As far as "bankruptcy being forever," yes, there is a public record out there. And yes, it could hurt you in terms of gaining employment at a high salary or taking out a high-end mortgage on a house. In terms of car loans, credit cards, low-end house mortgages, etc., the bankruptcy will have absolutely no bearing on your situation. Good luck.
You have to, it is a debt...it is just a secured debt...by the lien on the property.
That is up to the person filing the bankruptcy. You can include or omit any debt that you choose.
==Answer == Not in any way. Your credit rating is only determined by how YOU handle your credit on anything that is in your name.
A person that files for bankruptcy will more than likely have their credit score decline. This will not make them a good candidate for being a cosigner.
2 years
Yes. I co-signed for an auto loan and the other borrower filed bankruptcy without notifying me. I was in the process of buying a home and before I went to settlement they pulled my credit again and her bankruptcy came up - preventing me from getting the house. So yes it will affect your credit because it will show up on your credit report that that person has filed for bankruptcy.
When clearing credit, the only ways to clear your credit is Bankruptcy through a District Judge. There are however many ways to improve your credit. By going to annualcreditreport.com you can check your credit for in accuracys and dispute any information you feel is not accurate, or information that may pass the statue of limitations. The agency has 30 to 60 days to investigate and report your in accuracies. They will mail you a new credit report with all the disputed information updated.
Yes, provided you use ONLY your credit for the loan.
Your credit score starts going up the minute the bankruptcy is filed. Debts incurred after the filing (even the day after), are exempt from the bankruptcy. If you make house and/or car payments on time, your score goes up Legally, they can hold it for up to 10 years.
It depends on who you're asking for a loan. But, maybe.