Tips To Buying A Car After Bankruptcy

Tips to Buying a Car After Bankruptcy

by

Jennifer Quilter

— Wait at least a year after you’ve discharged your debts.

— Get a secured credit card immediately after discharging your debts so you can improve your credit. Hopefully do this immediately after discharging your debts, making on time payments, so now you have something on your report to show a lender that you have been handling making payments on time.

— Look at multiple sources to see what’s out there. Every company is different. Some will be willing to work with you, some have better rates–see what’s available. Look online, look at your local bank or credit union, to get a good idea of what’s available.

— Remember that every lender sets their own criteria, so just because one turns you down, doesn’t mean everyone will. Have patience and don’t let this get you down. This is probably the most important tip on here in dealing with life after bankruptcy.

— Always read the terms and conditions before signing anything. A lot of lenders will put hidden fees in their terms and conditions, and you want to know exactly how much you’ll be paying before signing anything. If you don’t understand something, ask!

— If you have someone who will cosign for you, seriously consider taking them up on this. They are risking their credit, so be sure that you have a serious budget built out and know that you can afford your monthly payments (which you want to do anyway).

— When you go to apply, do explain why you ended up in financial trouble in the past (they will care) but don’t focus on it too much. I usually recommend preparing a one or two sentence explanation to keep it short, such as divorce, medical bills, or whatever the case may be. This way it doesn’t sound like you’re making excuses or focus on it too much, but does address the elephant in the room.

Getting an

after bankruptcy loan

can be intimidating. The more you know the easier it is though, learn more about your options for

bankruptcy loans for cars

and how to make things easier for you.

Article Source:

ArticleRich.com