Can You Apply for a Personal Loan Online If You’re in a Chapter 11 Bankruptcy Process

You must wait until you have been discharged from the chapter 11 bankruptcy to apply for the personal loan. A bankruptcy record can stay on your credit profile for up to 10 years. Most lenders will not approve a person in post bankruptcy for regular loans because they are being viewed as high risk borrowers.

The only loan that you may possibly qualify is the bad credit loan. Bad credit loans will generally carry a much higher interest rate than a regular loan, this is why the lender charges a high interest rate to try and protect themselves against the risk of the borrower not making the repayment.

Therefore, before you sign up, make sure you read the fine print and check all the fees. It is best to get a fixed rate loan instead of a variable rate loan. The interest rate of a variable rate loan can bounce to be several percentages higher after many weeks. On the other hand, the interest rate of a fixed rate bad credit loan stays the same throughout the loan term.

California Personal Loan Options for Borrowers with Poor Credit, Bankruptcy History and Recent Employment Challenges

With a bad credit loan, you don’t have to worry whether they are going to reject your application when they see the bankruptcy record on your credit profile. They don’t perform any background check and only require you to hold a steady job. To prove that you have a stable job, you must submit the income slip of the most recent months. They will also require you to submit some basic documents such as identification documentation.

You can apply for unsecured bad credit loan from sites like and They will connect you to a network of lenders that are offering personal loans specifically for people with less than ideal credit histories. These lenders also report to the credit bureaus so you have a chance to build up your credit score. They will send you multiple offers of bad credit loans and it is up to you to accept the offer. has Online Loan options for borrowers throughout California

There is no application fee to pay when you submit the application. Most bad credit loans don’t charge prepayment penalty fee so you can pay off the loan early without additional expenses. It is important that you only apply one loan at a time after you are discharged from bankruptcy. Every loan that you apply will appear on your credit profiles. Applying for too many loans at a time can cause your credit score to lose a significant number of points.

It is advised that you plan for your budget so that you will have the sum of money to make the repayment when the due date arrives. You must never miss a single repayment if you are serious about building up your credit score. Your credit score should improve within 6 months to 1 year if you continue to make repayment. Once your credit score has increased, you will be able to qualify for a low interest loan again.

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