Credit Score Problems with Foreclosure
Foreclosure is a serious financial issue that many homeowners face when their debts become too much to handle. As debt grows larger, it often compounds into a larger amount of debt. As a result, a person with less severe concerns may end up facing the loss of their home and long-term credit score issues if that debt isn’t dealt with promptly. If a person is pushed to this point, bankruptcy may be the best option.
If you’re fighting foreclosure and need a helping hand, our experienced bankruptcy advisors may be able to assist you with the process of filing for bankruptcy protection. For more information about how to begin working towards getting out of debt, contact Florida foreclosure defense lawyer Ryan J. Really, Attorney at Law, PLLC, today at (239) 237-0675.
What Credit Score Issues Does Foreclosure Create?
As foreclosure is often linked to several other debts, a person may face serious credit issues when trying to achieve debt freedom after a foreclosure. After all, foreclosure, unlike bankruptcy, will not actually solve many of a person’s debt concerns. Foreclosure, combined with a person’s other debts, may cause someone to face the following credit score issues:
- Damage to a credit score due to too many sources of credit
- Damage to a credit score due to unpaid lenders
- Damage to a credit score due to the act of foreclosure itself
While bankruptcy can harm a person’s credit score, it ultimately takes away a large portion of a person’s debt. This gives that person the opportunity to rebuild their credit score over time.
If your debts have become too much to bear, we may be able to work with you to begin the bankruptcy process. An experienced bankruptcy lawyer may be able to help explain your legal options concerning foreclosure defense and bankruptcy. To learn more about this process and what kinds of benefits and protections it entails, contact Florida foreclosure defense attorney Ryan J. Really, Attorney at Law, PLLC, by calling (239) 237-0675 today.