If your financial problems have left you with little choice but to file bankruptcy, then you are probably wondering (now that the dust has settled) and your bankruptcy has been discharged, how to go about re-establishing your borrowing history and getting the loans you need. Contrary to popular belief, getting a loan after bankruptcy is much easier than borrowing money with bad credit.

While it is true that filing bankruptcy is the most detrimental thing that you can do to your credit score because it demonstrates your willingness to abandon your responsibilities to your lender, it also gives you a clean slate upon which to base your credit future. Although bankruptcy can carry a certain negative stigma for up to seven years following discharge, getting a loan may be simpler than you imagine.

You, Debt Free - And How That Looks To Potential Lenders

Lenders now view you as a person who has no outstanding debts. You do not owe anything (in most types of bankruptcy) and most likely you have a job. These are two good things that you have going for you right now, and most lenders know that. Employment history is a huge determinant in deciding whether or not you will receive a loan in the months following bankruptcy discharge. Lenders look for length of time at your current employer in deciding if they should take a risk by loaning you money.

The longer you have been employed, the greater your chances. Why is this? Because there is a limit to China rechargeable light manufacturers the number of times that you can file bankruptcy, by law, within a period of a specific number of years. The lender sees that you have positive employment history and does not think you are at risk of quitting your job, and this works for your benefit because the lender knows that if you fail to pay them, they have other remedies, specifically garnishment of your wages. Therefore, you are an ideal candidate for them for most post bankruptcy loans.

Another Option For Getting Your Post Bankruptcy Loan

Another option that those without adequate employment histories have at their disposal is borrowing with the benefit of a creditworthy cosigner. Your cosigner can be a relative or friend, or anyone who agrees to stand good for the after bankruptcy loan that you take out. A good idea might be to take out a loan of less than $5,000 to begin with, pay it off with timely payments, and then move up to larger amounts. Most cosigners are more willing to sign alongside you if they know it is a lower amount of money and that it will be paid off quickly.

Online Loans After Bankruptcy

You can find many loans after bankruptcy by going through reputable online lending institutions that specialize in helping those who have been discharged from bankruptcy to rebuild their credit. There are other advantages to borrowing your post bankruptcy loan from an online lender as well. You will receive a speedy decision, lower interest rates, and a quick dispersal of your post bankruptcy loan funds to your bank account.