Welcome to Loan Refinancing Guide
Auto Loan Refinancing Rates Article
. For a permanent link to this article, or to bookmark it for further reading, click here.
from:Refinancing a Car Loan after Bankruptcy
Refinancing a car loan after bankruptcy can be a little tricky; don’t be discouraged though, because it can be done. Your bankruptcy needs to be discharged for at least 6 months before you try to borrow money for a car loan. More than likely it will take 6 months or so before you can buy anything on credit again, but start with small purchases made on credit and build your credit reputation. It is important to always make your payments on time without any missed or late payments, because they are reported to the credit bureau.
Before refinancing a car loan go onto the Internet and research the lenders; choose the lender that will give you the best quote. Because you have a bankruptcy in your past you may have to pay a higher interest rate than someone without a bankruptcy in their past; but a good lender may be able to lower the fees. A good sub-prime lender will try to make refinancing a car loan after bankruptcy as painless as possible.
If you own your home, you may be able to tap into its equity as a cash-out loan. You would be able to borrow enough for refinancing a car loan and have cash in the bank for emergencies, home improvements or to keep in the bank drawing interest for a nest egg later on. This home equity loan can help to reestablish your creditworthiness after a bankruptcy. In some cases, a home equity loan can be a good alternative—especially if you have other financial issues other than refinancing a car loan. Once you have solidly reestablished your credit after bankruptcy you will never again have a problem finding a lender interested in refinancing a car loan for you.
Lenders are more inclined to approve applications for refinancing a car loan if the bankruptcy was a Chapter 13 bankruptcy, rather than a Chapter 7. In a Chapter 7 bankruptcy, the assets of the individual are taken away and liquidated; however, a Chapter 13 bankruptcy is more of a consolidation. You keep your assets and pay for them over time, and this kind of bankruptcy shows the lender that you wanted to pay your bills. Just the same, a bankruptcy of either type will negatively impact your credit history for up to 10 years in some cases. Finding a lender to help you with refinancing a car loan might be difficult, but it isn’t impossible.
The best way to find lenders to assist you in a loan is to type the words refinancing a car loan after bankruptcy into your search engine and you will find the websites that cater to people that have a bankruptcy in their backgrounds. Don’t be discouraged; many lenders have loan specialists that specialize in working with people who are interested in refinancing a car loan after a bankruptcy has impacted their credit.
Auto Loan Refinancing Rates News
New credit cards can ding your credit score
Tinesha Ross, a MBNA employee, walks by the credit card museum at MBNA in Wilmington, Del., in this 2003 file photo. / GANNETT FILE PHOTO Don’t apply for or accept any other new credit for three months to six months before going out to look for a car loan, said Anthony A. Sprauve, director of public relations for FICO.
Read more...7 smart ways to pounce on low interest rates
Taking advantage of low rates Slide 1 of 8While go-go lending was partly to blame for the economy's current financial troubles, ironically, borrowing money may help ease the country out of the downturn. ...
Read more...State of the Union: Fact Checking the President
ABC News’ Huma Khan reports: Fact Check 1 - Obama’s Plan for Foreclosures Fact or Fiction Number 1 – Obama’s Plan for Foreclosures “That’s why I’m sending this Congress a plan that gives every responsible homeowner the chance to save about $3,000 a year on their mortgage,...
Read more...Jefferson Bancshares, Inc. Announces Earnings for the Quarter Ended December 31, 2011
Jefferson Bancshares, Inc. , the holding company for Jefferson Federal Bank, announced a net loss for the quarter ended December 31, 2011 of $3.7 million, or $0.59 per diluted share, compared to net income of $359,000, or $0.06 per diluted share, for the quarter ended December 31, 2010.
Read more...Capstead Mortgage Corporation Announces Fourth Quarter 2011 Results
Capstead Mortgage Corporation today reported net income of $41,968,000 or $0.43 per diluted common share for the quarter ended December 31, 2011.
Read more...