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How Long Does A St Louis Bankruptcy Stay On My Credit Report?


The short answer is: ten (10) years. But there is a longer answer to this question that most people don’t’ hear. In fact, as soon as they hear “ten years,” they want to run for the hills. But there is more to this question than you might think.

In October 2005, a revamp of the Federal Bankruptcy Code went into effect. This revamp was the result of a bill that passed in the US Congress earlier in the year. The changes that were made to the Code almost entirely benefited creditors. This of course makes sense (because if you are a multi-billion dollar corporation, you don’t have any problem hiring an army of lobbyists to persuade the government to give you what you want).

The goal of these changes was to make it more difficult for someone to file a St. Louis Chapter 7 bankruptcy (by way of the so-called “Means Test”). But as an added measure, the highly-paid attorneys for places like HSBC Bank who literally wrote the law (then convinced Congress to vote for it), stuck in the ten year provision. The attorneys undoubtedly thought that such a provision would be a further deterrent against people considering bankruptcy.

Most of these great, big birthday presents to the credit industry and banks have not panned out well for them. For instance, more and more people over the years have been very successful at getting into a Chapter 7 (even though the initial goal was to force them into a St. Louis Chapter 13).


But in regards to the ten year credit report provision, that does seem to scare people quite a bit. In reality, having a bankruptcy show on your credit report is not a bad as you might think! In most cases, you can expect to see your credit score go up by as much as one hundred (100) points within the first year after filing a St. Louis bankruptcy. That’s if you just sit on the couch for the next year. But most people are more aggressive about rebuilding their score. Which means that within about a year and a half to two years after filing, you can expect your credit score to get back up to where you want it. So it doesn’t happen overnight (but a lot sooner than most people believe).

What does this have to do with the fact the bankruptcy filing will show up on your credit report? Well, hopefully as you can now see, that fact does not in turn depress your credit score. So in the end, your score will rocket up in spite of the bankruptcy showing up on your credit report!!

We have one location by appointment only: 4625 Lindell Blvd St. Louis, MO 63108. The initial consultation to discuss your debt related issues is free of charge. So contact us today to learn more!!

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