By R. Lawrence Anderson
After filing bankruptcy, is it difficult to qualify for credit
While much will depend on your specific situation (credit
score, income, age of bankruptcy, etc.), it doesn't have to be
as difficult as some people make it.
In After Bankruptcy Credit Solutions, I detail a three step
process readers can use after filing bankruptcy to increase
their chances of credit approval.
There's not nearly enough room to cover each one in detail
here, so I'll summarize each step:
1) Increase your credit score
If you plan on applying for credit after filing bankruptcy,
increasing your credit score is critical. Why? First, it can
mean the difference between being approved or declined for a
loan. Second, if you can increase your credit score enough
after filing bankruptcy, you may be able to get a lower
interest rate on any loans you qualify for – which could save
you up to $100s or even $1,000s in interest.
What steps can be taken that could help increase your credit
score after filing bankruptcy? There are a number of them. One
step is to have any inaccurate negative information on your
credit reports corrected. You also want to make sure any
obsolete negative information is removed from your credit
reports. As for other steps that could help increase your
credit score after filing bankruptcy, I'll save those for
2) Know How the Credit Approval Process Works
Knowing how the credit approval process works is very
when applying for loan after filing bankruptcy. For example,
what are the lender’s criteria? Do they have a minimum credit
score criteria? What about income? How much of an impact will
your bankruptcy have?
After filing bankruptcy, you want to know the answer to these
questions before you apply for credit. Knowing the answers in
advance can help you find the lenders that will consider your
application. There are other questions you can ask, but this
least gives you a starting point.
3) Know How to Apply for Credit and Loans
There are specific strategies you can use when applying for
credit and loans after filing bankruptcy. For example, if you
plan on financing a car, there are strategies you can use to
increase your chances of being approved for the loan – and
possibly save money on interest charges, and even on the car
Here’s another example: What if you want to buy a home after
filing bankruptcy? Again, there are a number of strategies you
can use to increase your chances of being approved – and
potentially reducing the interest rate you pay. I go into
detail on each one in After Bankruptcy Credit Solutions.
Qualifying for credit and loans after filing bankruptcy does
not have to be as difficult as some people make it. In this
article we looked at three steps you can take the next time
apply for credit and loans after bankruptcy to increase your
chances of credit approval, and potentially reduce the
rate you end up paying in the process.
Copyright © 2006 Innovative Solutions Publishing, Inc. All
The company and product/service names referenced in this
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This information is designed to provide only a general
of the subject matter herein.
This information is provided with the understanding that
neither the publisher nor author is engaged in rendering
accounting, or other professional advice. If legal or other
expert assistance is required, the services of a professional
should be sought.
Neither the publisher nor author shall be liable for any loss
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information contained herein.
About The Author: R. Lawrence Anderson is author of After
Bankruptcy Credit Solutions, which shows individuals how to
qualify for credit after filing bankruptcy