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would other banks with low rates turn me down

I had a bankruptcy in 2004 it was Discharged in 2005 and I settled all my outstanding balances, I recently went to my bank for a home equity line for 20k and was denied but I have 70k in equity, why would they turn me down, now I applied at home trust whom I have a secured card with and they approved me but the rate is 9 percent and 2 percent set up fee and a home appraisal must me performed, would other banks with low rates turn me down as well or is it just scotia, are there any other alternatives that you know of? any info would be greatly appreciated thanks.

Posted from: Ontario

One Response to “would other banks with low rates turn me down”

A licensed trustee said...

I am sorry, but without looking at your credit file, I can’t tell you why your own bank might turn you down, but a higher interest lender approve you. It may simply be you don’t have enough “new” credit history since your discharge.

I suggest you go back and speak to the loans officer at your mortgage company that turned you down – ask them why (and more importantly) what do you need to improve in order to be approved. You might be able to do somethign for the next 6 months that will cause them to reconsider.