The Moak Law Firm March 2019

How to Rebuild After Bankruptcy: Part 2

Type of Credit: 10 Percent Consistently paying back major credit cards, like a Visa or MasterCard, will impact your score far more than a store card fromMacy’s. You also want a variety of credit types. Having four cards with low balances, plus an auto loan and a home loan will help produce a higher credit score. Inquiries: 10 Percent When a lender “pulls your credit,” it dings your credit report and can reduce your score by a couple of points. Having a lot of new inquiries on your credit is a red flag to lenders because it looks like you’re trying to get money fast. But not having any inquiries can also damage your score. Be mindful to apply for new lines of credit every couple of years. After filing for bankruptcy, people want to start rebuilding their credit right away. But they can’t do this if they don’t know where their credit score comes from in the first place. Filing for bankruptcy is only the first step. If you need help improving your credit score, give us a call at 480-755-8000 and ask how you can get a score of 720 after bankruptcy.

Everyone has advice for improving your credit score, but few people understand where their credit score even comes from. This month, we’re examining the five factors that calculate your credit score and how much each factor is worth. Payment History: 35 Percent Over one-third of your credit score is determined by how you pay your bills. Do you pay on time, or are you 30 days late? Late payments will decrease your credit score, but consistently paying your bills on time will bump it up. Utilization Ratio: 30 Percent If you have a credit card with a $10,000 limit and you owe $9,000 on that card, you’re using 90 percent of your credit, so your score is going to take a hit. For a good score, you want to have access to a lot of credit, but you don’t want to be using all that credit. If you only owe $1,000 on that $10,000 card, then your utilization ratio is just 10 percent, and you’ll have a much higher score. Credit History: 15 Percent Long credit history is preferred. Someone with 10 years worth of good credit history will likely have a much higher score than an 18-year-old getting their first credit card. This is why closing old lines of credit can negatively impact your score.

Where Does Your Credit Score Come From?


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Homemade Corned Beef


1. In a large stockpot, combine water, garlic, and all herbs and spices to make brine. Cook over high heat until salt and sugar are fully dissolved. Remove from heat and stir in ice. 2. Once water temp reaches 45 F, place brisket in a 2-gallon zip-close bag, pour in brine to cover, lay flat in a large container, and store in fridge. 3. Brine for 10 days, checking daily to make sure brisket is fully submerged and brine is stirred. 4. After 10 days, remove brisket from brine and rinse under cool water. In a large pot, cover brisket, onion, carrot, and celery with water. Bring to a boil, then reduce heat to low and gently simmer for 2 1/2–3 hours. 5. Remove, slice across the grain, and serve.


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2 quarts water 1 cup kosher salt

1/2 cup brown sugar

2 tablespoons saltpeter (potassium nitrate) 1 cinnamon stick, broken into large pieces

1 teaspoon mustard seeds

1 teaspoon whole black peppercorns

8 cloves garlic

8 whole allspice berries 12 whole juniper berries 2 bay leaves, crumbled 1/2 teaspoon ground ginger




2 pounds ice

1 5-pound beef brisket, trimmed


1 small onion, quartered

1 large carrot, coarsely chopped 1 stalk celery, coarsely chopped

480-755-8000 • 3

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