I had a relative go bankrupt like alot of people are doing these days. He had a good job but his bills were too much to handle I suppose after his wife walked out on him and he had to pay child support too. So he let the bank have everything and mortgage company.
I’ve had bad credit for sometime not because I’m a deadbeat but because of low paying jobs and losing jobs because of illness and poor health. Is it worse to have bad credit when trying to rent a place or bankruptcy. I am tired of being hounded by this one collection agency. I am on a pension now and I know they can’t touch my social security but tired of being hounded. Is it true after 7 years everything is written off on your credit report? I want to move to another state because I am tired of where I am living. I usually just pay cash for everything else and always paid cash for any vehicles I’ve owned too.
First of all bankruptcy only shows on your credit for 10-years and the older the BK is the less affect it has on your score. And you can reestablish your credit in as little as 24-months after your discharge if you know how.
Second the 7-years you asking about refers to the reporting time line established by the Fair Credit Reporting Act (Federal law) which says that derogatory accounts show for 7-years from the date of first delinquency and nothing but nothing resets this time line.
But, even after this time line does expire there is another called the statute of limitations which is the time that your creditors have to take you to court, sue and win. This time line varies by State and type of debt and can be rest by making a payment or by admitting the debt is yours.
Even after the S.O.L. expires lenders can still try to collect.
If all your worried about is the one collection company simply send them a cease and desist letter letter which you can find all over the web and they will be forced to only contact you by mail.
Bankruptcy should be looked at as a last resort, it’s messy and takes a lot of hard work to recover from.
Good luck.
