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How does a bankruptcy affect my credit score?

A bankruptcy will have a very negative effect on your credit score.

Credit scores measure the likelihood that you’ll pay back a lender if the lender gives you credit. In many bankruptcies, consumers do not pay back certain debts, or pay them only partially, which is why credit scoring models consider bankruptcies unfavorably.

Bankruptcies can stay on your credit report for up to 10 years. As long as a bankruptcy appears on your credit report, it will negatively impact your score.