Miranda Marquit writes about personal finance almost everyday. Adam Ginsberg would like to share this article with his followers on how to borrow money if you are bankrupt.One of the most difficult situations to overcome is bankruptcy. When you declare bankruptcy, it can be difficult to recover – and to convince creditors to lend to you again.
While it might be difficult to find lenders after you file for bankruptcy, it is possible to borrow money even in this dire situation. Getting to that point might require some hard work on your part, though.
You Can Borrow as Long as Someone is Willing to LendUnderstand that anyone can borrow any amount, as long as a lender is willing to take a chance. However, do remember that if you are in an open Chapter 13 bankruptcy, you will need permission from the bankruptcy court before you can borrow.
Consider looking for lenders that specialize in poor credit loans and after-bankruptcy loans. You will most likely have to accept the following conditions:
Improve Your Credit FirstIn many cases, it makes sense to improve your credit before you try to borrow after a bankruptcy. The first step is to make all of your payments – from utilities to insurance premiums to credit cards – on time. One common tactic is to apply for a secured credit card to help rebuild credit by showing responsible habits. Establish a positive payment record with non-credit accounts by using alternative credit scoring, like that offered by eCredable and PRBC .
Overcoming a bankruptcy is not something that can be done overnight. You will have to show responsible behaviors for 12 to 24 months if you want to be considered by many more traditional lenders. Work to boost your credit score, and you will be more likely to be seen as an acceptable risk moving forward.
Add a Statement to Your Credit ReportIt’s also possible for you to add a statement to your credit report. If your bankruptcy was the result of circumstances beyond your control, such as a major medical catastrophe, a messy divorce, or a job loss followed by a long period of unemployment, you can add a statement to your credit report. This statement tells your side of the story, and might help some lenders decide to take a chance on you after all.
In some cases, a lender might require you to create a statement for submission with your loan application. Your statement should concisely describe the conditions that led to your bankruptcy, as well as outline what you have done to improve your situation, and your plans for improving your financial management in the future. There are lenders that understand extenuating circumstances, and a well-written statement can go a long way toward helping you qualify for a loan.
Bottom LineYou can borrow money if you are bankrupt. However, you need to be willing to pay a higher price, and take extra steps to show that you are capable of meeting your obligations this time around.
About Adam GinsbergAdam Ginsberg’s beginnings were quite modest. He started his online enterprise selling his pool table on eBay in the year 2001. He went on to making sales worth more than $20 million in a single year. After achieving so much in a very short time, he wanted to help other people to taste the same kind of success. Adam hopes you're never in the situation where you have to file for bankruptcy, but unfortunately, if you do, then hopefully the above article will be of some help to you.
For more information about Adam Ginsberg you can visit http://adamginsbergreport.com and if you've heard about the alleged Adam Ginsberg Scam, you can contact Adam directly.
While it might be difficult to find lenders after you file for bankruptcy, it is possible to borrow money even in this dire situation. Getting to that point might require some hard work on your part, though.
You Can Borrow as Long as Someone is Willing to LendUnderstand that anyone can borrow any amount, as long as a lender is willing to take a chance. However, do remember that if you are in an open Chapter 13 bankruptcy, you will need permission from the bankruptcy court before you can borrow.
Consider looking for lenders that specialize in poor credit loans and after-bankruptcy loans. You will most likely have to accept the following conditions:
- Much higher interest rate.
- Willingness to secure the loan with some sort of asset.
- Smaller loan amount.
Improve Your Credit FirstIn many cases, it makes sense to improve your credit before you try to borrow after a bankruptcy. The first step is to make all of your payments – from utilities to insurance premiums to credit cards – on time. One common tactic is to apply for a secured credit card to help rebuild credit by showing responsible habits. Establish a positive payment record with non-credit accounts by using alternative credit scoring, like that offered by eCredable and PRBC .
Overcoming a bankruptcy is not something that can be done overnight. You will have to show responsible behaviors for 12 to 24 months if you want to be considered by many more traditional lenders. Work to boost your credit score, and you will be more likely to be seen as an acceptable risk moving forward.
Add a Statement to Your Credit ReportIt’s also possible for you to add a statement to your credit report. If your bankruptcy was the result of circumstances beyond your control, such as a major medical catastrophe, a messy divorce, or a job loss followed by a long period of unemployment, you can add a statement to your credit report. This statement tells your side of the story, and might help some lenders decide to take a chance on you after all.
In some cases, a lender might require you to create a statement for submission with your loan application. Your statement should concisely describe the conditions that led to your bankruptcy, as well as outline what you have done to improve your situation, and your plans for improving your financial management in the future. There are lenders that understand extenuating circumstances, and a well-written statement can go a long way toward helping you qualify for a loan.
Bottom LineYou can borrow money if you are bankrupt. However, you need to be willing to pay a higher price, and take extra steps to show that you are capable of meeting your obligations this time around.
About Adam GinsbergAdam Ginsberg’s beginnings were quite modest. He started his online enterprise selling his pool table on eBay in the year 2001. He went on to making sales worth more than $20 million in a single year. After achieving so much in a very short time, he wanted to help other people to taste the same kind of success. Adam hopes you're never in the situation where you have to file for bankruptcy, but unfortunately, if you do, then hopefully the above article will be of some help to you.
For more information about Adam Ginsberg you can visit http://adamginsbergreport.com and if you've heard about the alleged Adam Ginsberg Scam, you can contact Adam directly.
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