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Credit repair is important in Minnesota. Your credit score affects all of your financing expenses. A poor credit score can cost you hundreds of dollars in higher interest payments every month. In cat we can help you improve your credit score usually in 45 to 60 days. An important part of financial stability is how to repair credit to maintain the highest credit score possible especially in Minnesota.

Your road to better credit

Bankruptcy Removal When do secured creditors try to remove the stay in order to foreclose on your house?

Secured creditors are likely to ask the court to remove the stay if you are not making payments or the collateral is not adequately protected. (To learn more about secured debts, see What Is a Secured Debt?)

Not making payments on a secured debt. Secured creditors often file motions to lift the stay when the debtor is not making payments. Since property used as collateral must be paid for or returned during bankruptcy, the court will normally lift the stay unless the debtor can bring the payments current or show another good reason to deny the motion (for example, the debtor will use one of the available methods for dealing with secured debts in Chapter 7 bankruptcy, or the debtor has provided for payment of the debt in a Chapter 13 repayment plan). For example, if you are behind on your mortgage when you file for Chapter 7 bankruptcy, your mortgage lender is likely to ask the court to lift the stay so it can continue with foreclosure.

(To learn more about secured debts in Chapter 7, see Secured Debt & Property in Chapter 7 Bankruptcy. For more on the repayment plan, see The Chapter 13 Repayment Plan.)

Lack of adequate protection. A secured creditor may also complain that it is not adequately protected. Lack of adequate protection usually means that there is no insurance on the collateral, or it is likely that the debtor will not make future payments.

A creditor must also prove to the court that it has standing. In these cases standing usually boils down to showing that the debtor is actually indebted to the creditor seeking the relief. During the recent mortgage crisis, standing has been a sore subject for the banking industry. Some banks have been unable to prove standing as a subsequent creditor on mortgages that were transferred several times and the original notes are now lost.
Motions by Unsecured Creditors

Sometimes unsecured creditors and other parties seek to lift the automatic stay. The court will often grant the request if the unsecured debt will be excluded from the bankruptcy discharge, like child support obligations, spousal support, or criminal restitution. This is especially true when the debtor has filed a Chapter 7 bankruptcy case. Chapter 13 debtors are often able to repay these non-dischargeable debts over three to five years and remain under the protection of the bankruptcy court.


A landlord may seek relief in order to evict for non-payment of rent. A bankruptcy debtor’s rent obligation is divided on the bankruptcy filing date into pre-bankruptcy and post-bankruptcy debts. Pre-bankruptcy rents are dischargeable, and post-bankruptcy rents are not dischargeable and not subject to the automatic stay. This means that while the automatic stay would prohibit the landlord from collecting on unpaid pre-bankruptcy rent, the landlord may evict if post-bankruptcy rents are not paid.
Can credit repair help you in Minnesota to achieve financial stability? Credit Repair Company How can I rebuild my credit after bankruptcy?

The most important thing you can do to rebuild your credit after a bankruptcy is getting it removed from your credit report. Equally important is learning and changing your personal finance habits so that it doesn’t happen again. This might involve reviewing your income and expenses or bulking up your emergency fund to prevent future financial hardships. The most important ongoing habit you can begin is to pay all of your bills on time because your payment history accounts for the largest portion of your credit score. Even a single 30-day late payment can cause a significant dip, so imagine how bad it could be if you regularly miss a payment.

Your other best bet for rebuilding your credit after bankruptcy is to avoid accruing new debt. Depending on what type of bankruptcy you filed, you probably had much of your debt discharged. Even though the bankruptcy itself is a major negative item on your credit report, consider the rest a blank slate. Avoid racking up additional debt because that also has a significant impact on your credit score. Yes, a bankruptcy isn’t a fun process to go through. But look on the bright side and consider it an opportunity to start fresh with your finances.
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