Posted on: 6 November 2015
If you've recently gone through a divorce, you probably weren't prepared for the way it would change your life. Perhaps you never established credit in your own name and depended only on your spouse's credit before your divorce. Perhaps your credit rating is marred because you were forced to depend on credit cards to pay monthly bills at the time of the divorce.
Suddenly, you find you have a lousy credit score or you have no credit established in your own name. You realize your household income has been drastically reduced, and you may need a place to live and a car.
However, you can regain control of your life again. The road won't be easy, and it will require hard work. Knowing what to do and where to start will help you regain your self-confidence and get your life back on track again.
Accept what you can't change
You may not have the option of choosing low-interest loans when you are trying to rebuild or establish credit. Loans with a higher interest may not be the greatest choice, but they will enable you to get started in the rebuilding process.
You may have to live with family members for a time until you get back on your feet or settle for a small apartment you can afford. Do what you can afford and make the best of the situation.
Just remember this won't last forever. Taking small steps in the right direction will pay off in good results later.
Start to build your credit
Search for a credit card with no annual fee and a small credit limit. Use the card for small charges, and always make your monthly payments on time. Make sure you limit how you use the card to avoid overextending yourself financially.
Buy your own car
If you need a vehicle, you may have difficulty getting financed through a bank or financial institution. Look for a buy-here, pay-here car dealership like Autobank of Kansas City. These automobile dealers finance you directly without having to go through a bank.
Your chance of getting a vehicle is usually excellent with these dealerships. Interest rates will vary, but remember that when you are building or rebuilding your credit you typically won't be able to get low interest rates.
Talk to the buy-here, pay-here dealership owner, and don't be afraid to ask questions. Ask about the types of warranties they offer on the vehicles they sell. A warranty is a necessary protection when you are struggling financially and need to get back on your feet. One expensive car repair can cause a major financial setback.
Don't be quick to jump into purchasing a vehicle. Have a professional check over the vehicle to make sure it is mechanically sound. Make sure the dealer has an excellent reputation in the community.
Establishing or rebuilding a credit history takes time, but it can be done. Start by accepting the changes divorce has brought into your life. Work on building your credit by getting a credit card or purchasing your own car through a buy-here, pay-here car dealership.
In time, you will be on your way to a better way of living. Not only will you be rebuilding your credit, but you will also be rebuilding your life.Share