How long after a bankruptcy is discharged
can a borrower obtain a loan?
Today some lenders are
able to take a look at person's overall credit and financial picture
to seek out borrowers who may have had a single issue leading to the
filing of a bankruptcy. It is possible to obtain a 100% purchase
loan with a recent bankruptcy discharge (in as little time as 1 week
discharge). These particular programs are credit score driven so
if a person had good to excellent credit just prior to the bankruptcy,
he/she may be able to qualify for 100% financing. Alternatively,
there are additional programs where if a borrower has a down payment
(the percentage will vary based upon the credit score), financing is
still possible with only an average rating.
FHA loans usually require 2 years
seasoning from discharge on a Chapter 7 bankruptcy, and 1 year with a
prompt payment history on a Chapter 13.
