ArticleMap.com

How To Get Loans Approved After Bankruptcy

After one has been forced to declare bankruptcy for whatever reason, it is a common belief that life in this world almost comes to an end in terms of finances or any future hope of getting credit again. But in reality, by faithfully following some simple steps and following the correct procedure, getting loans and new credit approved even after you have filed for bankruptcy can be done without too many more steps than anyone would have to go through.

It is particularly important to “get your ducks lined up” with the advice offered here, because it will put you in a much better position. Your goal should not simply be to get credit approved, but to get credit approved that is not at an exorbitant interest rate. The difference in just a couple of percentage points on a car loan can still mean hundreds of dollars, and on a mortgage loan, can mean tens of thousands of dollars that you don’t need to pay if you get your homework done first.

Your first step is to get a copy of your credit report. And be sure to get a copy of it from each of the “big three” credit bureaus, which are Equifax, Trans Union and Experian. The reason for this is because some creditors may report to all three of them, while others may only report to one or two of them. You can pretty much rest assured that if you are trying to get credit approved for any type of sizeable purchase, the credit grantor is going to check with more than one of the credit bureaus, and very likely all three of them.

The other reason for getting a copy of your credit reports is because, believe it or not, the majority of credit reports contain errors. These errors do not get fixed automatically, but it is up to the consumer to “notice” the error and insist that it be corrected. Having inaccurate information on your credit report can also cause you to have a lower overall credit score, and perhaps prevent you from getting the best loan deal possible.

Getting your credit report cleaned up as much as possible is going to take time, so if possible, be sure you allow time to get inaccurate information removed. The laws today state that credit bureaus have up to 30 days to either verify that they information they have on file is correct, or to remove it, and that 30 day clock does not start ticking until AFTER you have notified them of an error or inaccuracy.

For a sizeable purchase like a mortgage or a car, consider using a loan broker. Loan brokers deal with hundreds of different lending institutions, and they should be very familiar with which ones are strict and which are more lenient. Your goal is to have the broker understand your situation of having declared bankruptcy, and find the right lender who can accept that situation under the right circumstances and still not charge sky-high interest rates.

One of the most important things you can demonstrate is a good financial track record after your bankruptcy. That means paying all your bills on time with more than the minimum payment due, even your electric bill and your phone bill. A demonstrated track record of being “financially squeaky clean” in your post-bankruptcy days will go a long way towards a lender being willing to give you a second chance.

Article Source: http://www.articlemap.com

Jon is a computer engineer who maintains web sites on a variety of topics based on his knowledge and experience. You can read more about credit reports and improving your credit score at his web site at www.credit-help-center.com/

Please Rate this Article

Not yet Rated

Click the XML Icon Above to Receive Bankruptcy Articles Via RSS!

Additional Articles From - Home | Finance | Bankruptcy

How to Manage Your Mortgage If Your Lender Closes or Files for Bankruptcy - By : lar
Should You File For Bankruptcy? - By : lar
Debt Relief Promises May Really Be Offering Bankruptcy - By : lar
Want Bankruptcy Tips - Taking it to Bankruptcy Court - By : Deanna Mascle
Need Advice For Non-Dischargeable Debts in Bankruptcy Filing - By : Deanna Mascle
The New Bankruptcy Law - What It Means to You - By : David Hoyer
Bankruptcy Questions - Is There Life After Bankruptcy? - By : Deanna Mascle
Bankruptcy Questions? Get Help About Bankruptcy - By : Deanna Mascle
Want Advice About Fighting Personal Bankruptcy - By : Deanna Mascle
Advice for Filling Your Bankruptcy - By : Steve Buchanan

	Print This Article
	Post Comment
	Add To Favorites
	Email to Friends
	Ezine Ready

Submit Articles
Member Login
i Top Authors
Most Popular Articles
Submission Guidelines
Ezine Notifications
Article RSS Feeds

Press Release
About Us
Link To Us
Contact Us
Privacy Policy
Terms of Service

Highly Recommended:

Sponsored Ads:

Recommended Hosting

Related Sister Site:
Submit Health Articles Now