CENTURY 21: The Gold Standard
How long do bankruptcies and foreclosures stay on a credit report?
Bankruptcies and foreclosures can remain on a credit report for 7 to 10 years. There are lenders, however, who will consider an applicant who went through a bankruptcy as recently as two years ago, as long as good credit has been reestablished.
Depending on when the bankruptcy was discharged and what kind of credit a borrower has reestablished since then, it needn't be an obstacle to obtaining loan approval The longer ago the discharge occurred, the better off a loan applicant will be. Also, depending on the circumstances surrounding the bankruptcy, lenders will lean one way or the other. For example, if a borrower went through a bankruptcy because his or her company had financial difficulties owing to, say, defense industry cutbacks, that says one thing to a lender. If, however, a borrower went through bankruptcy because he or she over extended personal credit lines and lived beyond his or her means, that says quite another thing.
Return to Home Buying TipsReturn HOME
LOGO DISCLAIMER: ©2008 CENTURY 21 Real Estate LLC. CENTURY 21® is a registered trademark liscensed to CENTURY 21 Real Estate LLC. Equal Housing Opportunity. Each Office is Independently Owned and Operated.