Gettiing Approved For A Vehicle Loan After Bankruptcy

Law Blog

After you file for bankruptcy, you may feel like you are at a financial standstill. It may seem like it will be impossible to ever qualify for any sort of credit again. If you need a new vehicle, it can feel especially troubling since many people are not able to purchase one outright without a loan. One thing to keep in mind that it is, in fact, possible to get a newer vehicle after you have filed for bankruptcy. This is when you need to look at subprime loans. The following are some things you can do to make it a possibility.

Sub Prime Loans

One option is to aim for a subprime loan. You will need to find a lender that provides subprime loans to those with less than desirable credit or with a bankruptcy. The downfall to a subprime loan is that they are more expensive than traditional car loans. While this is not ideal, they are a helpful tool in rebuilding your credit. Getting loans and paying them off responsibly is one of the best ways to rebuild your credit after a bankruptcy.

Getting a Sub Prime Loan

Once you have decided to move forward with a subprime loan, you can do most of your research online to find the best rate. Once you find a lender that offer the lowest rates, you then need to apply for a pre-approved loan. Keep in mind that just because the lender offers low rates does not mean that you will qualify for the lowest rate yourself. However, it will likely be the lowest rate you can get amongst those willing to lend to you, so it all works out in the end.

The process of filing for bankruptcy can seem overwhelming and scary. The best thing to do is take each day one at a time to see how you can best move forward. If you are unable to qualify for even a subprime loan, you still may have some options to help you pay for your transportation. You may find it best to even apply for a secured credit card with your bank if that is a service that is offered to customers. Ultimately, this will demonstrate that you are able to pay your bills on time so that your score will increase. Over time, your credit score will be high enough to get your subprime loan to buy a vehicle.

Whether you have questions about qualifying for a loan or you need help with the paperwork to file bankruptcy, contact a professional who offers chapter 7 bankruptcy filing assistance


27 February 2018