Car Finance After Bankruptcy

TMinside

Hello,

I am currently bankrupt due to a number of debt issues I faced in the past. I will be discharged in April 2017. In April I will be looking to get a car however would need to finance this. How likely am I at being accepted just after becoming discharged?

Noodle is 495 out of 710 : 1/5 Poor
Clear Score is 154 out of 700.

What steps can I take in April after my discharge to increase my score again.

sourcrates

Hi,

It's unlikely you will be able to get mainstream finance, you may be able to get specialist finance, or the kind where you have a little box fitted in the car and after you make your monthly payment, they send a code to the box, so you can drive it for that month, and so on.

The Bankrupcy will be on your credit file 6 years, so little will change for you whilst that still shows.

TMinside

Thanks for your reply.
Do you know how I could improve my credit score after discharge?

philnicandevan

TMinside wrote: »

Thanks for your reply.
Do you know how I could improve my credit score after discharge?

The only thing is time really...while bankruptcy sits on your credit files for 6yrs credit will be pretty difficult (no impossible) to get, meanwhile you could leave it a few months after discharge have a look at the sticky on the bankruptcy board about cleaning your credit files up...once you've had a read and done that start with one of the poor credit credit cards ocean/vanquis etc...sim only contract with a mobile phone provider, home shopping (littlewoods etc)

and NO SUCH thing as a credit "score" this is a meaningless number that companies like experian etc can screw cash from you to use, nearly all credit providers now are mainly using their own in house procedures meaning "scores" are pretty useless in anycase

TMinside

philnicandevan wrote: »

The only thing is time really...while bankruptcy sits on your credit files for 6yrs credit will be pretty difficult (no impossible) to get, meanwhile you could leave it a few months after discharge have a look at the sticky on the bankruptcy board about cleaning your credit files up...once you've had a read and done that start with one of the poor credit credit cards ocean/vanquis etc...sim only contract with a mobile phone provider, home shopping (littlewoods etc)

and NO SUCH thing as a credit "score" this is a meaningless number that companies like experian etc can screw cash from you to use, nearly all credit providers now are mainly using their own in house procedures meaning "scores" are pretty useless in anycase

That post has been a big help. Thanks very much!!
With the ocean/vanquis should I apply straight away after discharge or give it a couple of months?

philnicandevan

Do the clean up suggested then leave it a couple of months

bhoydon

I got finance from First Response Finance 18 months after bankruptcty they asked me if there was anything on my credit file they should know about and i told them i was a discharged bankrupt they gave me finance no problem so just be honest.

TMinside

Thanks for all the reply. Really helpful. One last question, would it affect my credit rating if I got declined? If yes, how bad would it be affected?

tigerfeet2006

The BR on your file is the biggest black mark you could have on your file so only by a degree or two to that.

Have a look at getting a Credit Union account and start saving into that after a little while you can apply for a loan. They will sit down and look at your SoA and see if you can afford what you have asked for. You then pay it back over the agreed amount of time and as you do so most of the repayments go towards your loan but some still goes into your savings so they are still building up. Google Credit Union and your local town/city and or county.

Some examples of Credit Unions. Each one offers something slightly different according to their size and demographic. Some employers even have CU's running.

https://www.emheartcu.coop/home

http://www.cardiffcu.com/

http://www.credit-union.coop/