Bankruptcy Experts

Your credit score and reputation will normally be affected after you just finished filing for bankruptcy- especially when you file under the chapter that deals with debt liquidation/ cancellation (chapter 7). The first thing you may want to do is get yourself a job after bankruptcy, then think of how to start afresh building your credit. Financial institutions will always want to avoid having deals with you if certain steps are not taken.

This article is written to let you know that it is in fact easier to get car/ auto loans after bankruptcy than you think possible. Getting an auto loan or a car loan will even help boost your credit score and put on a fast lane to credit recovery.

The first thing that you need to do immediately after you have been discharged by the court of competent jurisdiction is to get your credit report from your financial institution. Cross check it to be sure there are no errors (be sure that the accounts that are in red against your name have all been closed).

The next step to take is to identify cheap and suitable cars/ autos and mortgage (house) that you intend to buy. You need to do this to prove that your taste is not too extravagant. So you will have to make sure that the identified car or house is not too expensive.

Once that is done, chop around for financiers with relatively low interest rate. This is to avoid falling into the same ‘interest rate trap’ that initially took you to the ‘danger zone’ of bankruptcy. Be sure of the effective interest rate that you will be asked to pay for your new loan.

Now you can apply for the car loan or house loan. It is easier to get loan for personal properties after bankruptcy than other kinds of loans. One thing you must do is to include an attachment showing that you have been declared bankrupt in the past. Here is where your credit report comes in handy. Make sure that you clearly state in the attachment the reason for your going bankrupt and steps you have taken to ensure that it doesn’t happen again.

There are online directories of financial institutions that are willing to help you secure loans after bankruptcy.

Ensure that you stay out of trouble by acquiring good financial management skills and live with it.

To your refinancing success after bankruptcy!

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