Liberty, TX Bankruptcy Law Firms & Lawyers

Most banks in our area will not consider a mortgage application until two years have elapsed since the discharge in the case. You can get around that if you have a nice deposit to put down to create equity in the home, but that is usually the only exception.

The creditors unfortunately are not bound by divorce decrees or separation agreements. If your name was on the debts including as a cosigner or co-debtor, you would still owe on the debt. You may want to consider filing a Chapter 7 bankruptcy, you could then have this unsecured debt discharged in the Chapter 7 (it does not matter if a judgment against you has been entered or not).

In my practice, I've found that most couples can buy a house at reasonable interest in two years after filing a Chapter 7. You'll need to reestablish your credit. That means you have to make your payments on time to a business that reports to the credit agencies. For example, you're renting an apartment or a house, you pay utilities but most landlords and utilities don't report to the credit agencies. Car loans and credit cards generally report, so if you have a car loan, you're rebuilding your credit just by making the payments. When you filed bankruptcy, you received a swarm of car loan and credit card offers - many of these are ripoffs but you should look at them and if there is a low limit credit card with a good interest rate (in your case consider 18% a good interest rate), then apply and make the payment every month.