When you file bankruptcy or proposal, the first step to improving your credit score is to complete the bankruptcy and receive a discharge or complete the proposal and receive a Certificate of Full Performance. This will let the creditors know that you are free from the debts included in the bankruptcy or proposal.
Improving your credit score means not going backwards. By learning to manage your money, you will ensure that you will be paying all of your monthly bills (utilities, rent etc.) and will not have negative reports on your credit rating.
Banking with a new financial institution and maintaining a good working relationship with them will enable you to talk with them about rebuilding your credit score once your bankruptcy is completed. Many banks and other financial institutions offer secured credit cards which require you to give them a deposit. Some can offer G.I.C. loans and hold the G.I.C. as security. Upon paying the loan, you receive the G.I.C. funds and a good report on your credit rating.
Maintaining secured loans in good standing will increase your credit score as well.
Our staff will explain how to successfully complete your bankruptcy or proposal in Alberta and will give you advice on rebuilding your credit. Be sure to be honest with your creditors and ask us any questions you may have.