How long after declaring bankruptcy, does it take for you to be clear
May 14th, 2008 by Questions
How long after declaring bankruptcy, does it take for you to be clear, I have rec`d my discharge and would like to lease a car, what is the procedure?
Posted from: Ontario
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May 15, 2008 at 9:45 am, Barton Goth GCO Bankruptcy Trustees said:
Once you are discharged from bankruptcy you are able to borrow money at any time you want. The trick is finding a lender who is willing to extend enough credit to buy a vehicle. Nowe while you will be able to find a few they will likely charge a higher interest rate as you will be perceived as a “credit risk.”
In terms of the impact on your credit, as a result of a bankruptcy you will have an R-9 listed with the credit bureau for 6 years from the date of discharge.
Once you are discharged from bankruptcy you can begin to rebuild your credit, perhaps by getting a secured Visa card. You give Visa a $1,000 security deposit, and you get a Visa card with a $1,000 limit; this access to credit begins to re-establish your credit, and increase your chances of qualifying for additional credit.
The key to regaining your credit is proving to the lender that you are responsible with money. Saving money is the best way to do that, and it gives you money to use for a down payment on a car or a house in the future.
By following these steps you will find you can re-establish your credit in a much quicker fashion than the full 6 year waiting period.