“I’ve never been laughed out of a bank before, but if I ask for a car loan after bankruptcy … ”
Bankruptcy can be tough, no question about it. And recovering from it can be a long, arduous and confusing process.
One of the things that many people who have suffered a bankruptcy assume is that they won’t be able to get a lender to offer them financing of any kind until the bankruptcy has fallen off of their credit report, several years after the initial filing.
The truth about lending to people who have declared bankruptcy is like bankruptcy itself: complicated.
Bankruptcy is not the end of the existence of your credit life or your financial life. Bankruptcy is merely one of the factors that goes into how a lender determines to view you as a credit risk.
One of the most common issues that people who look for auto loans after bankruptcy face is increased interest rates in the loans they are offered. This is not at all unusual, and tracks with the way that lenders see other credit problems on a credit report, albeit that bankruptcy is a bigger problem than simply a few missed payments.
Loans are still possible. You just have to look for them.
Even after bankruptcy, car loans are not impossible to get. In fact, with some lenders, all you have to do is ask.
Sound too easy? It isn’t. Although it is possible to be approved for a car loan after bankruptcy, you need to be prepared for a higher interest rate or possibly down payment requirement on the loan that you might have received had your credit been perfect. This may be the case even if you have a high income level.
Over the past 12 years, RoadLoans has help thousands of satisfied customers get a car loan with a history of bankruptcy on their credit reports. RoadLoans may be able to help you get your next auto loan. Apply today.
These statements are merely informational suggestions only and should not be construed as legal, accounting, or professional advice, nor are they intended as a substitute for legal or professional guidance.