 TITLE: How Does Filing Bankruptcy Affect Your Credit? CONTENT: What Happens to Your Credit When You File for Bankruptcy?\n---------------------------------------------------------\nYour payment history is the most important factor in determining your credit score, and filing bankruptcy means that you won't be paying covered debts in full as you initially agreed.\nAs a result, filing bankruptcy can have a severely negative impact on your credit score. A Chapter 7 bankruptcy will remain on your credit reports and affect your credit scores for 10 years from the filing date; a Chapter 13 bankruptcy will affect your credit reports and scores for seven years.\nRegardless of which type of bankruptcy you choose, lenders will be able to see it on your credit reports in the public records section and it's likely to be a factor in their decision-making. Once you've completed the legal process, it will show that both the bankruptcy and the debts included in it have been discharged.\nIf you apply for credit, lenders may not approve your application unless the bankruptcy has been discharged. Even then, you may have a hard time getting approved for certain types of loans. If you do get approved, you may face steep interest rates and other unfavorable terms. END