A Helping Hand For Michigan Families

Fixing Bad Credit

Having bad credit will increase your costs (higher interest rates, financing fees, etc.), limit your credit and/or make obtaining future credit more difficult.  Further, bad credit can potentially prohibit you from making purchases or getting a new loan.

It is possible to repair and improve your credit, we are here to help!  Call one of our experienced credit repair attorneys at 866-261-8282 to schedule a free consultation and take the first step to regaining control of your finances. We have six convenient office locations:  Detroit, Southfield, Dearborn, Flint, Ann Arbor and Warren, Michigan.

At your initial complimentary consultation we will review and discuss:

• Your current debt load and the nature of the debts (secured vs. unsecured);
• Your monthly budget – your income and your monthly expenses;
• Explore your long-term financial goals;
• Put a game plan in place to improve your credit by:
  • Balancing your budget
  • Restoring timely payments to your creditors
  • Reducing your debt-to-income ratio.

We are available evenings and weekends for your call.

What are the Components of Credit?

Potential creditors review your credit application or credit report to determine the loan’s financial risk.  If they give you a loan, extend a certain amount of credit, or sell you goods and services, will you pay them back?  Factors that determine your creditworthiness are:

• Length of employment
• Your income and assets
• How long you have lived at your current address
• Most often, the primary resource in their decision-making is your credit history.  A bad credit history leads to a bad credit score.

If you have experienced past struggles in one or more of these areas and those struggles have caused you have bad credit, we can help.  While you cannot change the past, you can change the future.  You can help you:

• Alter bad credit habits;
• Re-establish your credit history to improve your credit score(s);
• Begin using credit to your advantage!

“The biggest driving factor to a score is delinquent payments or payment history,” explains Arlene Dang, Manager of Analytics for Experian Credit Bureau.

While your credit score reflects payment patterns over time, the greater emphasis is on recent information according to FICO.

Knowing this fact can help you determine your course of action towards improving your credit.  If you have available income and just need help:

• Consolidating, prioritizing and potentially reducing your bills and debts;
• Developing a concise budget;
• Negotiating with your creditors;
• Creating a consistent payment history to improve your credit.

…we have your solution.  We offer a court-authorized debt management program called Chapter 13 reorganization.

Debt Management – Chapter 13 Reorganization

Chapter 13 is a debt consolidation program that is authorized by the court as a legitimate and legal way to consolidate, re-structure and many times eliminate a portion of your debts.  The program provides a customized re-payment plan where WE propose the terms to your creditors.  By law you are guaranteed:

• 0% interest repayment on all unsecured debts, such as:
  • Credit cards
  • Medical bills
  • Loan deficiency debt
  • Older tax debts
  • Past due utility bills
  • Second mortgages or home equity loans
  • Personal Loans, etc
• Prioritization of your debts to favor secured creditors (i.e. mortgage and car payment) over your unsecured creditors (credit cards, medical bills, etc.)
• Court protection from creditor actions such as:
  • Home foreclosure
  • Car repossession
  • Judgments
  • Wage garnishments, etc.
  • Creditor calls and collection efforts
• Window of 36 – 60 months to repay what you can to your creditors.  Whatever unsecured debts are not paid at the expiration of the program is legally eliminated and you no longer are obligated on the debts.
• Options to reduce or eliminate such debts as:
  • Second mortgage(s) or home equity loans
  • Principal mortgage balance on rental property(s)
  • Unsecured debts and loan deficiencies
  • Vehicles purchased over 2 ½ years ago

The Chapter 13 is an Excellent Means to Fix Bad Credit:

Through the Chapter 13 Plan we can:

• Reduce and likely eliminate a portion of debt which has a continued positive effect on your debt-to-income ratio;
• Establish consistent and timely payment to your creditors to restore a positive payment history;
• Provides a finite time to make your best efforts to pay down your debts.  At the end of the program, all remaining balances on your unsecured debts are legally eliminated, again bolstering your debt-to-income ratio.

To determine if a Chapter 13 is the right option for you to improve your credit, call our office to schedule a free consultation at 866-261-8282 or click here to schedule a consultation right now.

Debt Elimination – Chapter 7 Fresh Start

If you are suffering from bad credit and overwhelmed with debt but just don’t see a way out based on your income, you may consider a Chapter 7 fresh start.  This program eliminates all unsecured debt obligations and provides the opportunity to turn over property (vehicle, home, etc.) that you can no longer afford without risk or further financial obligation.  This program allows you to wipe your credit slate clean and liberates you from your debts.  After your court discharge, which typically takes 3 – 5 months, you can begin re-building your credit and make a fresh start.

By eliminating debt, your debt-to-income ratio will improve and you will also have eliminated debt that may have been preventing you from remaining current on other debts (mortgage, vehicle, etc.).  This will allow you to resume timely payments to your other creditors, and again, fix your credit.

We Are Here to Help You

Trying to fix bad credit can seem daunting.  With our assistance, you can rest assured that improving your credit and overall finances is our top priority.  Our firm specializes in Chapter 7 and Chapter 13 work and we have a reputation of excellence within our community.  Please call us for a free consultation toll free at866-261-8282 or click here to schedule a consultation right now.  For your convenience, we offer six office locations in: Detroit, Southfield, Dearborn, Flint, Ann Arbor and Warren, Michigan.