Although a bankruptcy is hard-hitting and stays on your credit for a period of 10 years, it does not ruin your credit. In fact, many people obtain higher credit scores after a bankruptcy due to successful changes in spending habits. A good first step to reestablishing credit after a bankruptcy is to actually watch your credit. There are dozens of companies that advertise that if you sign up for their program you can check your credit as often as you chose. This is great, but generally unnecessary as anyone can get a copy from each of the three credit bureaus once in a year.

Also you should make sure that you receive a new credit card reports at least from two, if not all three credit bureaus, every month. Many people are overwhelmed with credit offers after filing bankruptcy. This reconstruction process can take 2-5 years, but some people come out of a bankruptcy with a higher credit score than before due to better spending habits.