I just went through bankruptcy and expect discharge papers any day now but my lawyer suggests getting a credit card to help rebuild my credit, is that a smart thing to do? Is it possible to get a simple low credit line card or at this time unwise?

James Williams

A credit card is the easiest way to improve your credit history. But it’s better not to apply for a credit card right away the bankruptcy is discharged. It is wise to wait at least six month. If you can’t wait, make sure all your reports show discharged bankruptcy before you apply. A secured credit card can be the best option after bankruptcy. The card requires a security deposit and because of that your chances to get approved are higher. A minimum security deposit is usually about $200 and gets you a credit line of equal amount. Secured cards are reported to the major credit bureaus. So make all the payments on time and spend no more than 30% of the available credit limit to improve your credit.