Can You Apply For Car Finance After Bankruptcy?

Bankruptcy can be a challenging situation for anyone - but it doesn't have to hold you back forever, and buying a car after bankruptcy is not impossible.

Filing for bankruptcy

While bankruptcy is a difficult situation, it isn't something that should feel shameful or hard to discuss. Many situations can arise that make bankruptcy the best case scenario, and it is not your fault or something that means you need to put your life on hold. There are bankruptcy car finance options for you.

Getting a car loan after bankruptcy

If you are looking to apply for car finance, there is some bad news regarding bankruptcy and car loans. You cannot apply for car finance while you are bankrupt, so any applications you do make for a car loan after bankruptcy will be rejected. However, you can apply for an auto loan after bankruptcy once a year has passed since you have been discharged from bankruptcy.

Car finance after bankruptcy discharge

Will buying a car after bankruptcy discharge be difficult? While bankruptcy does impact your credit history and credit score, this is not something that lasts forever, and you will not be "blacklisted" from applying for a post-bankruptcy car loan. Six years after your bankruptcy, it is usually removed from your credit score, meaning that the more time that passes, the brighter your finances will look.

What can you do?

After bankruptcy, you may wonder how you can rebuild. Focusing on saving money and rebuilding your finances is a good start, with firm budgets in place. Monitor your credit report to check how it is changing, and re-establish a good credit score when you are able by paying off any new debts on time.

How can Autozone help with bankruptcy auto loans?

Applying for car finance while bankrupt may not be possible, but we do offer car loans after bankruptcy discharge options - so get in touch with Autozone. We are experienced in advising drivers who have poor credit scores or complex credit histories and have finance options and vehicles for every budget. Contact us to discuss car loans for discharged bankrupts with one of our friendly advisors so you can find the best choice for you.