Are we living in the best place (USA) at the best time (they're still soliciting me to accept credit cards!!), or what? How long does personal bankruptcy last, and is it only then that I should be looking at to begin rebuilding my credit history?
I'm liking not using the cards, tho' . . .
A Chapter 7 bankruptcy proceeding takes about 3-6 months to complete.
A Chapter 13 bankruptcy (repayment plan) can take 3-5 years.
Both will most likely remain on your credit report for up to 10 years. However, if you make an effort to re-establish, your credit score will improve way before then.
The kind of debt you want to establish is mortgage and installment (car loan). Don't go out and open a bunch of credit cards.
Usually you will start getting credit card offers as soon as your bankruptcy is discharged. Be careful, they are higher rates and you usually have to pay some extra fees. Just don't let the balance exceed 50% of your limit and this should help your credit.
