Credit rating is a fluid concept and is always changing. No matter what you do, including filing personal bankruptcy or a consumer proposal, you can always rebuild your credit rating.
How can I rebuild my credit rating?
Your credit rating is like a report card, when you file personal bankruptcy or a consumer proposal, you get a bad mark on your report card. Even though there is one bad mark it is averaged against all the marks on your report card. So despite the fact that that the bankruptcy or proposal results in a bad mark, the process to rebuild requires you to accumulate good marks on your report card to help improve your average.
The only way to get good marks is to:
Borrow and pay back loans
Use credit responsibly
The issue borrower’s face is that creditors don’t want to lend to someone who has a bad credit rating. To get creditors to lend to you, you must reduce or eliminate the risk for the creditors. This is done through:
the use of a co-signer
a secure credit card
With some work and effort, anyone can rebuild their credit.
