Order Closing Bankruptcy Case

Life After Bankruptcy

Section 13 of "The Chapter 7 Bankruptcy Process":
Order Closing Case

The final step in a normal Chapter 7 proceeding is the Court's entry of the order closing the case - now it's time to begin life after bankruptcy.

As discussed previously in this multi-part article, the entry of the order may happen several months, and in some cases, even years, after the bankruptcy discharge is granted.

It is not necessary to wait for the order closing the case to start moving forward. You have probably heard the phrases that bankruptcy gives a person "a fresh start", "a clean slate", "a second chance".

However, what can you do to make life after this process better? After all, you do not want to make the same mistakes again - to be counting down the months until you can file a petition for relief again. Resolve to make the necessary changes now - and to educate yourself regarding responsible ways to build credit.

By following a budget, paying all bills on time, not applying for too much credit all at once, and using only a small portion of your credit limit on existing cards, you will see gradual and consistent increases in your credit score. An improved credit score means that not only will you qualify for loans, such as auto or mortgage loans, but you will also qualify for better interest rates.

After undergoing this process, your situation should be better than the one you had before bankruptcy. To put things in perspective, I once read some good advice. Here it is:

Put God first, people second, money third, and all the things that money can buy - last.

It's good, sensible advice. There may be hurdles down the road - unemployment, medical problems, and other obstacles. You never know what life will throw at you. However, by taking advantage of this fresh start, hopefully you will be better prepared to face them when they happen.

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