It is a reality that is not easy to live with every day, that of going bankrupt. You have late payments but you are not ready to see the light at the end of the tunnel. Know that with good discipline and time: things will return to normal.

It is possible to continue to live despite this financial shock, following ways to improve your credit. These tips do not replace the advice of an expert, such as your financial advisor.

Beware of lenders

The first few months are tough, however beware of businesses and lenders in all their forms, offering a credit card very easily and quickly. Generally, their interest rates are so high that it will cost more than your initial loan. These lenders guarantee the recovery of your credit report in 2 years, at times, but they apply their terms in small character, such as the proper use of the credit card, no other credit application and a security deposit.

Time and confidence

Unfortunately nothing instantaneous, let alone for bankruptcy. Such information in the file disappears after 6 years from the date of the release of bankruptcy but nothing prevents to take good habits, following this. So, arm yourself with patience.

Change your habits

Always try to pay your bills on time and keep your credit cards 35-40% off their limit. Another method would be to pay in cash all your expenses, because plastic money can make you spend more than normal.

Set goals

Create a monthly “spend budget” and be faithful to it, which will prevent you from accumulating unmanageable debts. The new Iphone 6Plus can be tempting but you are it, necessary. Establishing a budget does not mean stopping living, just putting together a priority list of finances.

Update your records

Clean up your overdue debts and collection account, they have a significant negative effect on your credit rating. Check your credit rating with Equifax or Trans-Union, which are the two Canadian firms that manage credit card information. Checking your information will not make you down your side.

To be vigilant

Do not wait to report unauthorized transactions to your account. Often, we tend not to worry about our credit history, except when it’s time to make major purchases.

Allow

Having a plan B or even E in any situation would be ideal but it is not for everyone. If you have not done so already, putting money into a savings account will help you learn financial discipline.

In light of all this advice, if you realize you are losing control, ask your bank for help. There is no miracle recipe for this type of situation, only time and good payment habits can erase tasks.