Question : How long after bankruptcy shall I wait to apply to refinance my mortgage?
I filed for bankruptcy in 2004 and I have been paying on it for so long now that I have a chance to pay it on out. I have about a year left to go if I don't pay it on out. I want to refinance my house. If I pay my bankruptcy and my case is discharged, how long shall I wait before applying for a loan to refinance my home?
- asked by Penny
All Answers:
Answer #1
It sounds like you are in chapter 13 BK. Normallyyou have to wait until you are two years out ofbankruptcy before refinancing on a conventional orfha loan. If you want any additional informationpertaining to this question, feel free to shoot mean email.
- answered by Steve W
Answer #2
Sounds like you are in a Chapter 13. You can buywhile in a Chapter 13 if the court approves. Iwould think you could refinance also with courtapproval. Hopefully you only want a ratereduction, not a cash out.
- answered by Lisa L
Answer #3
Of the three banks I've worked for in the last 10years, all require discharge of a BK. Each alsorequired at least 2 years since filing. One wentby the credit score if those requiements were met,but another required 1. a GOOD reason for the BK(divorce and loss of job were not acceptable,someone needed to get sick or die), 2. NO latesor missed payments since filing, and 3. that bankdidn't lose any money. I can't remember any moredetails about the last one. Talk to your bank,see what they do.
- answered by daeve930
Answer #4
You can refi once it has been discharged since youare more than 24 months out from your filing date.You will need proof that the BK has beendischarged. Once you have this, you can get whatis called an Expanded Approval Loan. Lots of thebig mortgage company's offer this product(Countrywide, Beneficial, GMAC...). A lot ofwhether you qualify for this loan will depend onwhether or not you have had any deliquency orderogatory credit since your filing date. If youhave paid everything on time since 04, the you areprobably good to refi as soon as you get thedischarge papers. If you have had credit issuessince then, the it will probably take anadditional 12-24 months after discharge to get arefi.Good Luck!
- answered by Jeremy B
Answer #5
Lots of people think that once they’ve filed forbankruptcy they will be unable to ever get a loanagain, and ultimately they are unable to doanything financial ever again. This isn’t alwaystrue, there arewill help to improve your credit history ina number of different ways.
- answered by Kristina
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