Although it may seem that having bankruptcy note in your credit history would almost kill the chances of having a car loan you would be wrong. Admittedly the chances of getting rejected are higher but there is still hope as many lenders are opening up their doors to riskier clients and as such will more than likely consider your application and offer a reasonable offer instead of flat out rejecting it.

The fact is looking at things through a legal stand-point you can actually get a loan immediately after your bankruptcy closes. This however wouldn’t be the best bet to get an affordable loan. The first thing that should be done is to get your hands on your credit report and start the repair process. Often times, even with your bankruptcy over, there are still accounts that are open and need to be addressed. Try to close these accounts as soon as possible.

With your credit report in hand you can then address each negative aspect of the report. You should attach an explanatory note for each negative aspect of your credit report explaining the circumstances in which you were experiencing causing you to neglect your payments. This will show that you have extenuating circumstances and help the lender understand you choice of action. Based on these explanations lenders will actually be slightly more lenient and approve your loans or even offer slightly lower interest rates.

One of the most important things to remember is that after bankruptcy, you are considered one of the highest credit risk clients. As such you will either be charged extremely unfavorable rates or be plainly rejected of your loan. It is thus important that after your bankruptcy closes to make a good track record before actually purchasing a car. With your credit report in hand you should then identify areas which were previously lacking and show that you have learnt from the experience and no longer pose a credit risk as before. Give a 6-12 month period in which you address every aspect of your credit report that was lacking and after that apply for the loan. You will be rewarded with a much better interest rate and better terms and conditions.

Another vitally important thing to remember is the option of refinancing. If you signed up for a loan with an expensive monthly payment but keep your credit report squeaky clean then you should check in with other lenders every so often. Refinancing at a better and more opportune time could save you a lot of money.