Credit Reports After Chapter 7 Bankruptcy

Many clients have questions about their credit after filing bankruptcy. One of my clients called and asked whether his Chapter 7 bankruptcy discharge of a credit card debt means that the creditor has to remove the debt from his credit report.

The bankruptcy discharge eliminates the debtor’s legal obligation to repay a debt. A report of a debt on a credit report does not constitute a legal obligation of repayment. A creditor may not take any action to legally enforce a discharged debt, but the creditor does not have to erase the debtor’s history of non-payment on his credit report. Also, a bankruptcy filing may clean up legal obligations, but bankruptcy does not affect credit reports. Consequently, a creditor has no affirmative obligation to remove a bankruptcy debtor’s pre-bankruptcy payment history from credit reporting agencies.

The post Credit Reports After Chapter 7 Bankruptcy appeared first on Orlando Bankruptcy Law Blog.