These seven providers offer financing even when you have bankruptcy on your credit report.
Bankruptcy can damage your personal credit score for as long as 10 years. While it’s possible to find a loan when you have bankruptcy on your credit report, you could be limited to lenders that charge rates as high as 300% APR. Our team reviewed over 260 personal loan and payday lenders to help you find the right type of financing.
7 loans you can apply for after bankruptcy
These personal loan, installment loan and payday loan providers that might accept you even with borrowers Chapter 7 or Chapter 13 bankruptcies on your credit report.
Provider
Type of loan
Loan amounts
Requirements
Finder rating
Opploans
Installment loan
$500 to $4,000
+18 years old, Receive paychecks through direct deposit, $1,500 minimum monthly income, Live in eligible state
Employed, at least $1,000 in monthly take-home pay, valid checking account, US citizen, over 18, valid home and work phone number, valid email address, resident of eligible state.
You might be able to get a loan after bankruptcy has been discharged. You’ll be more limited in terms of the lenders you have to choose from, but there are options available to you. The fees and interest rates may be considerably higher on a loan after bankruptcy, and you may be required to attach an asset as security or apply with a guarantor. If you’re currently in bankruptcy proceedings, however, getting a loan could jeopardize your case. Consult a bankruptcy lawyer before you apply for financing.
Compare short-term loans and other alternatives
Be sure to visit the lender’s website or call its customer service line to confirm the eligibility criteria before applying to make sure they accept applicants in bankruptcy or with bankruptcy on their credit reports.
Can I get a loan if I have a bankruptcy on my credit report?
Having a bankruptcy on your credit report may look bad to most traditional lenders, but lenders offering short-term loans tend to be more lenient in their eligibility criteria. You may want to consider applying for a bad credit loan to increase your chances of approval. Check out the lenders in our comparison table below to see the requirements.
Where can I get a loan after bankruptcy?
Get a personal loan after bankruptcy with an online lender, credit union or community development financial institution (CDFI). Banks usually consider people with past bankruptcies to be too risky to offer loans. But some credit unions and CDFIs offer payday loan alternatives to all credit types, usually with lower rates than payday lenders. Some online personal loan providers that specialize in bad credit also accept bankrupt applicants, as do payday lenders. But not all do. Double-check to make sure you qualify before submitting your personal information.
Before you apply for a loan while bankrupt …
As your assets and income may have been affected by bankruptcy, deciding whether or not you can afford the repayments is an important consideration. What will your repayments be and how will they work with your budget?
Applying for a loan when you’re in any challenging financial situation isn’t a decision that should be taken lightly. This is especially true when you’re bankrupt. Consider why you’re taking out the loan and if there are any other way you can pay for what you need.
What kind of bankrupt loans are available?
If you’re in need of financing and you have a bankruptcy listed on your credit report, the following loan options might be an available to you.
Payday loan. These are short-term loans up to $2,000 with repayment terms between two weeks and one year. Lenders have flexible lending criteria, and while they won’t all consider bankrupt applicants, some will.
Bad credit personal loan. Specific lenders have bad credit personal loans, some for large amounts up to $10,000.
Auto title loan. Secured loans can be easier to get approved for than unsecured loans, as they’re less of a risk to a lender. Consider an auto title loan and attach your vehicle to the loan as security.
Personal overdraft. Your current bank may be willing to approve you for a small overdraft if you have a good history with the bank. This allows you to withdraw cash above your available balance.
While there are lenders who will consider applicants who have previously been bankrupt, filling out the application isn’t all it takes to be approved. Here are some of the criteria that’ll likely be in place when you’re considered for a bankrupt loan:
Ability to manage your repayments. This is the main requirement lenders have when considering you for a loan. Does your income allow you to easily manage your repayments after taking into account your liabilities and debts? If your repayments will be manageable and you meet the lender’s other criteria, you’ll be able to apply.
Time since bankruptcy. Some lenders require you to wait a few years after your bankruptcy ended before even considering your application.
Employment. You may be required to be employed, although there are some unemployed loans available. Different lenders have different restrictions. Some might not consider you if you’re self-employed or work part time. Check with the lender before applying.
Welfare. While you may still be considered for a loan if you receive welfare payments, lenders often have restrictions as to what percentage of your income can be made up of benefits — usually 50% if the restriction is in place. Usually, your loan repayments can’t exceed a certain percentage of your welfare income.
Income. How much do you earn? Lenders often have minimum income requirements in place. They may allow your income to be from employment and welfare or may need it to be solely from regular employment.
Assets. For loans after bankruptcy, the lender may require you to secure an asset to the loan as a guarantee in case you default.
How does bankruptcy affect my credit and loan eligibility?
Are you currently in bankruptcy or have a bankruptcy on your credit report? Understanding the effects it has on your credit and your loan eligibility is important.
Your credit report. Chapter 7 bankruptcies remain on your credit report for up to 10 years. Other types remain on your credit report for up to seven years.
Your credit score before bankruptcy. If you had poor or bad credit before you declared bankruptcy, then your credit won’t take a huge hit. This means lenders will take into account your history before and after bankruptcy and make a decision based off all the facts.
Loan eligibility. Lenders may view your application as risky since you’ve demonstrated your inability to pay back your debts in the past. Once you find a lender willing to provide you with a loan, make sure you’re able to repay it in order to avoid falling into a debt spiral again.
Higher interest. Be aware that you can’t file for bankruptcy again for a few years. This means that predatory lenders — both for cash advances and credit cards — will offer you money at very high interest rates. If you can avoid taking out a loan, you should. Otherwise, you might find yourself stuck in another, often worse, debt spiral.
Building a positive payment history. If you do decide to get a loan, pay it off on time! This will help rebuild your credit after bankruptcy, and that means you’ll have access to better rates down the road.
Frequently asked questions
Answers to common questions about getting a loan after bankruptcy.
How long after Chapter 7 bankruptcy can I get a loan?
How long you have to wait after filing Chapter 7 bankruptcy depends on the lender. Generally, you have to wait until the bankruptcy proceedings are over to qualify with any lender. After that, you can apply for a loan with a bad credit lender. However, most options are off the table for 10 years — the length of time a Chapter 7 bankruptcy stays on your credit report.
Do I have to disclose to lenders that I’m in bankruptcy?
If the lender’s application includes a question regarding bankruptcy, it can be considered fraud if you answer untruthfully. Besides, lenders can see if you have a bankruptcy on your credit report. You can review different lenders’ eligibility criteria and call their customer service lines in order to find out which ones would consider bankrupt applicants before applying.
Are there loans that don’t require credit checks?
Yes. Read about more about no credit check loans using our guide and see if it’s a good option for you.
Can I apply for a loan to travel or take a vacation?
Some loans have restrictions on what they can be used for, while others don’t. Most short-term loans don’t have these kind of restrictions. Though it’s important be sure that you’ll be able to make the necessary repayments before taking on more debt.
Anna Serio was a lead editor at Finder, specializing in consumer and business financing. A trusted lending expert and former certified commercial loan officer, Anna's written and edited more than 1,000 articles on Finder to help Americans strengthen their financial literacy. Her expertise and analysis on personal, student, business and car loans has been featured in publications like Business Insider, CNBC and Nasdaq, and has appeared on NBC and KADN. Anna holds an MA in Middle Eastern studies from the American University of Beirut and a BA in Creative Writing from Macaulay Honors College at Hunter College, CUNY. See full bio
Anna's expertise
Anna has written 244 Finder guides across topics including:
I need a $500 down payment but I’m in bankruptcy is there anyone in st.louis that would give me a payday loan
Finder
AnndyJune 17, 2017Finder
Hi Jarvis,
We do have a list of loans after bankruptcy. Kindly provide your state of residence in the box at the bottom of the page to compare your options.
Please review the eligibility criteria and the relevant terms and conditions of the loan before submitting your application.
Cheers,
Anndy
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We update our data regularly, but information can change between updates. Confirm details with the provider you're interested in before making a decision.
I need a $500 down payment but I’m in bankruptcy is there anyone in st.louis that would give me a payday loan
Hi Jarvis,
We do have a list of loans after bankruptcy. Kindly provide your state of residence in the box at the bottom of the page to compare your options.
Please review the eligibility criteria and the relevant terms and conditions of the loan before submitting your application.
Cheers,
Anndy