Here's how to fix your credit history after bankruptcy: take out small loans and repay them on time. Then take out larger loans and repay them on time, without using early repayment. Your CI will gradually improve.
As an additional tool, you can apply for a credit card with a small limit. Use it actively for purchases and do not go beyond the grace period. Records about this will also be reflected in the CI.
By the time your bankruptcy status is removed from the credit bureau, you will have a good credit history.
Sometimes the information does not get into the CI, and records of outstanding debts remain in it even after bankruptcy. Most often, this is caused by technical errors on the part of the BCI or the creditor.
To track such errors in time, you need to check your CI. This lebanon mobile database can be done for free once every six months and for a fee - at any time upon request to the BCI. The list of BCIs that store your credit history can be requested on Gosuslugi.
If you notice an error, contact the lender or the credit bureau. The bank is obliged to review the application and make corrections within 10 days. The credit bureau has 20 days to process the request.
Credit after bankruptcy: checklist
How is CI formed ? Lenders send data on new applications, monthly payments, late payments and other factors of the borrower's behavior to the BCI. Any bank can check the credit history before issuing a new loan.
How does the status of a bankrupt affect the CI? Information about bankruptcy is included in the credit history, but it is stored there not for life, but for 7 years. Every potential creditor sees that the borrower has a history of defaulting on debt obligations. This greatly reduces the likelihood of approval of a new application.
Do they give loans after bankruptcy? Immediately after being declared bankrupt, it is almost impossible to get a new loan. But after a while, you can try if you prove to the creditor that your financial situation has changed.
How to improve your credit history. The only way to work on your CI is to take out new loans that will not have any overdue payments or outstanding debt. Start with small loans - perhaps, at the first stage, it is worth taking out microloans from microfinance organizations. After 1-2 years, you can try to take out a small bank loan. Gradually, positive entries in your CI will displace negative ones.