Restoring Credit After Foreclosure

Carefully rebuild your credit and you could qualify for almost-normal rates, even a mortgage, in a year or two. Here's what you need to do. By Liz Pulliam Weston Anita Burleson has had trouble getting credit since her bankruptcy two years ago, but she knows that's not true for every filer. The fact that there are repeat bankrupts tells her that. "When I was in bankruptcy court, there was a couple that had filed for bankruptcy twice prior to this one," said Burleson, who lives in Emerson, Ark. "How could they get enough credit to get them into this much debt (three times)?" Actually, almost anyone can get credit soon after a bankruptcy. It's just a matter of knowing how. It's true that bankruptcy deals a devastating blow to your credit and your credit score, the three-digit number lenders use to gauge your creditworthiness. But the effects don't have to be lasting. Long before the bankruptcy drops off your credit report, you could be qualifying for loans with good rates and terms. Restoring credit after foreclosure cont...