Once your bankruptcy is behind you, life begins to look brighter. After all, you have succeeded in getting rid of an enormous mountain of debt.
Yet you cannot help wondering what is next. Will you ever get credit again? What if you fall back into the old pattern of debt? By taking five simple steps, you can move forward with confidence.
1. Analyze your former spending habits
What caused you to declare bankruptcy? Were you simply overspending? Did you lose your job? Did a serious medical situation bring mounting bills you could not keep up with? People have many reasons for deciding on bankruptcy. Think about your reasons, and resolve not to repeat them.
2. Accept one credit card
The number of credit card offers you get in the mail following bankruptcy will surprise you. Choose one, use it sparingly and pay off the balance every month. You will have a card you can use for emergencies, and making payments on time will help to boost your credit score.
3. Build up your resources
Change your attitude about spending and learn to save money. It will take some time, but eventually, you will find you have achieved good financial standing.
4. Stick to a budget
Learning to live within a budget is something everyone needs to do. Once you develop a monthly budget you can adhere to, you are sure to find that keeping within the boundaries you set is gratifying. Leave some room for unexpected expenses, and in time, sticking to your budget becomes almost automatic.
5. Adjust your lifestyle
Perhaps a lavish lifestyle got you into financial trouble to begin with. Think this through and do not fall back into the old trap. You do not have to buy the most expensive clothes or eat at the most expensive restaurants. Resolve to adjust your lifestyle and become more moderate in your ways, always keeping your budget in mind. You may find moving on after bankruptcy is not as difficult a task as you imagined.