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Credit After BankruptcyCreditors Want To Lend To Post-Bankruptcy Customers: 5 Reasons

by John G. Merna

Credit After Bankruptcy: Reason Number One
Creditors make a lot of money off lending. Think about it. You paid minimum payments for years before your bankruptcy and probably didn’t see your balances go down. That was all profit in their pocket, many thousands of dollars a year, and you still owed them a lot of money. They want you in that trap again.

Credit After Bankruptcy: Reason Number Two
Creditors can charge you higher interest after your bankruptcy because you have less access to reasonable interest rates until you do some credit recovery. This means more profit from post-bankruptcy clients then clients with good credit.

Credit After Bankruptcy: Reason Number Three
Creditors have lower risk of you filing another bankruptcy because you are only eligible to file a Chapter 7 bankruptcy every 8 years.

Credit After Bankruptcy: Reason Number Four
Creditors know you are all “cash-flow”.  You have gotten rid of all the debt that has been sucking your disposable income.  They want some, if not all, of that “freed-up” cash-flow.

Credit After Bankruptcy: Reason Number Five
Creditors know you have been a credit “sucker” in the past.  Believe me, they are betting on you getting into that “credit trap” once again so they can make a lot of money off you.


On a personal note, I appreciate all the thanks from our blog readers and clients about the various topics I write about. To link to this stream of postings just “friend” us on Google+.  I would also appreciate if you would Google +1 this page at the top and our bankruptcy page to help others find this information. Stay tuned and God bless.



 The Merna Law Group, Attorneys At Law, P.C. Didn’t have to worry about anything!5 Stars! “Just keep providing the type of service you do. You business values are based off reliability and service. Today’s Law Offices just don’t offer that kind of experience. Didn’t have to worry about anything!!! Just being able to go on with my normal life and know that all my issues are well taken care of is a relief in itself.” Reviewed by A.P. of Virginia Beach on Mar 4 . 
 The Merna Law Group, Attorneys At Law, P.C. …overall experience was outstanding!5 Stars! “My husband and I were very happy with The Merna Law Firm. They are well organized, time manageable, and friendly. I was even able to bring my children with me if I needed to. In court, they stayed right there beside us and answered all questions we had. Our overall experience was outstanding and I am glad we were represented by the Merna Law Group.” Reviewed by A.M. of Suffolk on Mar 5 . 
 The Merna Law Group, Attorneys At Law, P.C. …kind and friendly from the start!5 Stars! “Everyone there was kind and friendly from the start and helped us with everything in a timely manner. They were never rude no matter how much we called or asked questions.” Reviewed by B.P. of Virginia Beach on Feb 20 . 
 The Merna Law Group, Attorneys At Law, P.C. …very helpful and friendly!5 Stars! “Everyone at the office was very helpful and friendly. The attorney answered all of our questions and helped us through the entire process. He was also very helpful answering concerns that we had after the process was completed/over. Highly recommended!” Reviewed by M.E. of Virginia Beach on Mar 11 . 
 The Merna Law Group, Attorneys At Law, P.C. …debt free!5 Stars! “A friendly staff and outstanding attorney who helped me through a difficult time in my life. Thanks to everyone at the Merna Law Group who helped me move on to and new chapter in my life debt free!” Reviewed by M.F. of Norfolk on Mar 8 .