When Is Bankruptcy Removed From Your Credit Report?

Some people file for bankruptcy as a last resort. They may be unable to pay their debts, opting to go into bankruptcy to rebuild themselves financially. Regardless of their reasons, bankruptcy does have a significant impact on your credit.

Fortunately, if you’re worried about it affecting your credit, it’s good to know that it is not permanent. At some point, depending on the options available to you, your credit report will no longer show bankruptcy records. 

The Length Of Bankruptcy In Your Credit Report

The time that bankruptcy stays on your credit report depends on the type of bankruptcy you file, namely Chapter 7 and Chapter 13. Individuals commonly file for these two types of bankruptcy.

Chapter 7 bankruptcy, also known as liquidation bankruptcy, is what some people are familiar with. It involves liquidating your assets to pay off as much of your debt as possible. Chapter 7 makes it ideal for individuals with a limited income. The bankruptcy remains on your credit report for ten years from the filing date and has an impact on your credit history.

On the other hand, Chapter 13 bankruptcy, also known as reorganization bankruptcy, allows you to keep your assets and pay off your debts for three to five years. Chapter 13 bankruptcy remains on your credit report for seven years from the filing date.

While bankruptcy remains on your credit report for a set amount of time, it does not mean you will have a low credit score for that entire period. As time passes, bankruptcy will have less of an impact on your credit score and will become a minor part of your credit history—provided that you retain a good credit score during that period.

How You Can Improve Your Credit Score

You can also take some steps to improve your credit score even after filing for bankruptcy. 

Establishing New Credit

After bankruptcy, it may be challenging to get approved for new credit. However, a credit card or loan with a low credit limit or interest rate may help you rebuild your credit history.

Paying Bills On Time

Payment history is the most crucial factor in your credit report. Paying your bills consistently and on time is the most fool-proof way to improve your credit score, even in bankruptcy.

Keeping Credit Card Balances Low

Your credit utilization ratio, which is the amount of credit you use compared to your credit limit, can have a massive impact on your score. Keeping your credit card balances low is another way to improve your credit score.

Checking Your Credit Report

It is vital to check your credit report regularly to ensure that there are no errors or mistakes that could harm your credit score. If you find any errors, you can dispute them with the credit bureau.

Keeping Old Accounts Open

You may already have paid off old accounts, but keeping them open helps maintain your credit history’s length. You may no longer be using them, but they can play a role in improving your credit score in bankruptcy.

Seek Legal Assistance For Bankruptcy

Overall, bankruptcy is a serious step that can have a significant impact on your credit score and credit report. However, it is not permanent, and with time and effort, you can rebuild your credit and improve your credit score. For advice on bankruptcy options, contact Lincoln-Goldfinch Law and let their experienced bankruptcy attorney help you today.


Depending on the type of bankruptcy you’re filing for, the length that it will reflect on your credit report may vary. It can stay for up to 10 years with Chapter 7 bankruptcy and seven years for Chapter 13. You can still improve your credit score even after filing for bankruptcy by taking the usual measures such as paying bills on time and keeping credit balances low.

Get Help From A Bankruptcy Attorney

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