How To Qualify For A Loan After A Bankruptcy

How To Qualify For A Loan After A Bankruptcy

If you have filed for bankruptcy you may already be wondering how you are going to start rebuilding your credit. The challenge is that after a bankruptcy you will have to find a company who is willing to give you a second chance to prove yourself.

The first thing you should do is to think about other components within your financial profile that would be attractive to a lender. You will want to emphasize these points in your credit application. There are 5 things that most lenders look for when considering an applicant for credit. These are character, capital, collateral, consideration and credit.

If you have good job stability, income and some assets, you are a better candidate for credit. So what are the most popular forms of credit that someone who has filed for bankruptcy could qualify for? A secured credit card, a small personal loan from a finance company or a secured loan against a vehicle are some options if you need to rebuild your credit.

Do a lot of research and shop around. Don’t confuse payday loans as a credit product that will rebuild your credit. Payday loans do not report to the credit report. Neither do pre-paid master cards.

If you have filed for bankruptcy, the faster you begin re-building your credit the better. There are some loan companies who will start helping you re-establish your credit as soon as the day after you have filed for bankruptcy. All you have to do is research your options!