A cosigner can help dramatically in obtaining a better financing deal after a bankruptcy. What that means is that you should find a friend or family member who would be willing to co-sign on the loan along with you. This will almost always help with obtaining financing and keeping your interest rate down. Note that you will still need to meet income requirements in any case.
4. Loan qualifications must still be met or you won’t get financed.
When a consumer applies for a loan, the lender is evaluating whether or not the person will repay that loan. This is even more important after a bankruptcy… so having a stable job with the amount of income required to make the payment (after personal obligations) is pivotal if you are to receive financing after a bankruptcy.
5. Time helps lessen the impact of a bankruptcy.
Lenders view a bankruptcy with less and less skepticism over time. That means that if you do a good job of keeping your credit up after a bankruptcy, then your creditors are more likely to look at your more recent behavior to evaluate your credit worthiness. In general, the first year after filing for bankruptcy is the most important to a lender, and the bankruptcy will have the most negative weight during that period of time. After that first year, your current behavior becomes more important and the bankruptcy less so. But in any case, compared to a person without a bankruptcy, all other things being equal, your credit will not be rated as highly as the person without the bankruptcy.
