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  • Spectacular!

    I liked your fast, friendly service. You were all knowledgeable in the area of bankruptcy. Your treatment of me as a client was spectacular! You were great at promptly responding to my questions and concerns. I loved that you provided courteous and quick responses to all my questions.
    --Donna
  • Highly Recommended!

    I have worked with Seth and he is the utmost professional in how he works with his clients. If you need an attorney you can trust I would highly recommend the Law Office of Seth Hanson.
    --David
  • Very Professional.

    Everyone was very professional and efficient. Seth, and everyone that I had contact with were very knowledgeable. I was very pleased with how we were treated by his staff. My questions were always answered promptly. I was very pleased with the service I received and would not hesitate to refer someone to your firm.
    --Anonymous
  • Non-judgmental.

    You were very open and answered all of my questions. You never made me feel like I was asking a dumb question. I was comfortable with your knowledge of the law. It was hard for me to make this decision to move forward in my life. Everyone was friendly to me and respectful. Non-judgmental. Every question I asked was answered promptly and appropriately. I would recommend you.
    --Anonymous
  • More Than Expected!

    I found the firm's representation to be more than what I expected. I was always kept in the loop, all my questions were answered (whether or not I asked more than once the same question), and I felt completely supported by the firm staff when going through this (at times) scary ordeal. Thank you again.
    --Joanna
  • Very Impressed!

    I liked that you had very friendly, caring staff. You were all very knowledgeable. Your treatment towards me was excellent and you quickly responded to all my concerns. If a friend asked of your overall impression, I would say that we were very impressed and we would recommend you to them.
    --Danielle

What About My Credit Score? How Will Filing Affect My Financing Options?

When considering bankruptcy, people frequently express a concern that they will not be able to acquire debt later on. One might need to finance a vehicle or purchase a home and bankruptcy can affect these kinds of choices. What will one’s credit score look like a year from filing bankruptcy? How does filing affect one’s ability to finance debt in the next year or two? While a Chapter 7 bankruptcy might appear on your credit report for ten years (and a Chapter 13 for seven years), in my experience you will be able to have access to credit soon after your bankruptcy.

Credit Score Study

In 2017, LendingTree released a study that sampled over one million of its users which found that 43% of people who filed bankruptcy had a credit score of 640 or higher within a year of filing their case. Within two years of filing, 65% saw a credit score above 640.

But will you have to pay more to borrow? According to its study, LendingTree indicates that on a typical $15,000 auto loan one might expect to spend an additional $2,171 to finance such a loan within a year of filing whereas the extra cost is only $799 for those who waited at least two years after filing bankruptcy.

Annual Percentage Rate

In the study, the average APR for vehicle loans offered to those who never filed bankruptcy was 7.84%. Compare this to the interest offered one year after filing, 12.72%. Just a year after that, the average APR drops to 10.35% and then 9.67% in three years after filing.

For mortgages, the ability to finance opens up after the second year has passed from your bankruptcy filing. For individuals who have never filed, the average APR was 4.12% and the interest rate, on average, offered two years after the filing was just a bit higher at 4.29%.

If you have any questions about filing bankruptcy or how to start fixing your credit when your case has been completed, please feel free to reach out to your Fairfield bankruptcy attorney at (707) 385-0422.

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