Personal Loans After Bankruptcy in Texas, Colorado, and New Mexico

Where Borrowers Find Loan Approvals

Personal Loans After Bankruptcy in Texas, Colorado, and New Mexico

Personally, I have declared personal bankruptcy once in my life, and of course I suffered the financial consequences of not having any credit and having the internal shame that goes with it. My personal bankruptcy was due to a divorce, some of my own or spending habits, and some of my ex-wife’s overspending habits.

Most personal bankruptcies in the United States are due to divorce, which makes sense if you have ever been in a bad marriage when the wheels fall off and nobody cares about finances anymore. All three of these loan applications, which were ultimately approved by private lenders, were applied for by people who, at the time, had recently declared personal bankruptcy.

Our first post-bankruptcy loan came to us from Texas, where the bankrupt person lives in Dallas, and the second post-bankruptcy loan comes from New Mexico, and the third is in Colorado. The Texas bankruptcy loan was for $20,000 while the New Mexico bankruptcy loan was for $3000 and the Colorado bankruptcy loan was for $5000.

$20,000 Loan After Personal Bankruptcy in Texas

So our first loan is centered in Fort Worth Texas where the applicant lives in Dallas and his workplace is in Fort Worth. He needed $20,000 for undisclosed reasons, and he had a recent bankruptcy that was not discharged yet. He wanted to borrow the money as quickly as possible, like all borrowers I suppose, and he was extremely upfront about his financial situation and his recent bankruptcy. He knew that getting any kind of conventional credit wasn’t likely to happen considering that the basic rule of thumb is a seven year period when a consumer can’t get credit after discharge.

By reading between the lines and speaking with our applicant we found out that the $20,000 he wanted to borrow was so he could buy a car. The car that he was allowed to keep after his bankruptcy was a beat-up $1500 Honda Accord, which he found to be extremely distasteful and unreliable.

His employment at the time of his bankruptcy was at Carswell AFB at the Naval Air Station Joint Reserve base of Fort Worth. He has been a military man his entire life. He makes a reasonable income and his income is very secure in that he has been in the military for over five years at the time of this application. His personal DTI isn’t that bad either, when you consider that the military is looking after most of his expenses.

He did look into getting approved on the Internet for a so-called “military loan”, but these military loans are nothing more than glorified payday loans and cash advances – certainly not loans that hit the heights of $20,000. Most all payday loans in the State of Texas are for between $200 and $300.

No, this applicant knew that he was going to have to find a private lender who respected and understood the fact that his income was extremely secure and that he didn’t have many other monthly payments he had to worry about. He had to find a private lender that lives somewhere in Texas, and didn’t have a problem with a long-term loan over a period of years.

When he used the on site pre-application here he listed all of the information I’ve described above, plus some. There was a lender on our database that has been giving out private loans to people who have claimed bankruptcy recently and he lives in the Arlington area of Texas. If you are familiar with Fort Worth and the Dallas area you will know that Arlington is an area sort of halfway between both major cities.

This lender is strictly a private lender who has been lending money to people with really bad credit ratings for the last five years. He answered this applicant’s loan request with a couple of questions, and within 24 hours they had set up a Skype call so that they could discuss the terms of the private loan.

In the table below you can see that the interest rate was 12.5%, the length of term on this private loan was four years. One thing this applicant noticed when the final paperwork was put through was that the loan didn’t come from one particular person but came from a few different people who were listed as living in San Antonio and Houston Texas, and the actual letterhead on the loan agreement said Galveston on it. Whatever – he got his cash, and you can see the rest of the details below.

Applicant’s Loan Request Data Value
Loan Principal $20,000
Loan Product Type Loan after bankruptcy
Loan Cost Per $100 n/a – 4 year term
APR 12.5%
Total Interest Paid to Lender $5,103.21
Total Paid Back To Lender $25,103.21
Monthly Payment Amount $515.82
Loan Term/Period 4 years
Areas/Cities Dallas, Houston, Fort Worth
State(s) Texas
Country United States
Classification of Lender Private lender
FICO Score 550

$3,000 Loan After Personal Bankruptcy in New Mexico

Over in New Mexico we had another bankrupt applicant who had declared personal bankruptcy in mid-2011. Her pre-application form was filled out for Albuquerque, and “sometimes” Santa Fe, New Mexico. This is not a good way to apply for loan on any application form (offline or on a web site). Of course, there was a perfectly good explanation for listing Santa Fe and Albuquerque in the application – the borrower works in Albuquerque, and lives in Santa Fe.

This applicant needed to borrow $3000 quickly for some emergency bills that had to be paid, or she would be experiencing some difficulty with carrying out her responsibilities as an employee for property owners. She is an apartment building manager near Montgomery Blvd., Northeast and San Pedro Dr., Northeast in Albuquerque. She doesn’t have rent to pay, but she does have a cell phone bill that is long overdue and in risk of being cut off. She has to have the phone to do her job.

The applicant tried to get a payday loan somewhere in the area for $3000 but nobody would lend her that much money with a PDL. No, she had to find a more conventional style loan over a period of months. She does not want a payday loan. She wanted to pay back the $3000 over a one-year period, and she wanted an APR that was reasonable – not these inflated APR levels that the cash advance stores impose on their customers.

This is where FUSA came in and she made her pre-application known at the bottom of one of our posts. She found a private lender who lives in Albuquerque and was willing to lend $3000 over a one-year period, at a rate of 14% APR. You can see the results of this application and funded loan in the table below as usual, but we should make a note in this post about the level of paperwork required with this loan.

This particular lender just works for a company that gives subprime loans throughout the State of Texas, and it wasn’t a personal loan provided by one individual, such as you to see here on site sometimes. This lender had to have a lot of data in the form of pay stubs, a letter of intent from the employer, a bank account transcript of debits and credits, and of course the standard photo ID. No different than getting a loan anywhere else.

One of the things that we found really good about this lender was the fact that they provided a 14% APR on a one-year term to an applicant who had just recently claimed bankruptcy. 14% is a pretty darn good when you consider the circumstances, and you consider that no other conventional lender was willing to do business with the applicant. The actual payment per month on the loan was under $270, and the total interest over the year was only $227.46.

Applicant’s Loan Request Data Value
Loan Principal $3000
Loan Product Type Loan after bankruptcy
Loan Cost Per $100 n/a – 1 year term
Total Effective APR on Loan 14%
Total Interest Paid to Lender $227.46
Total Paid Back To Lender $3227.46
Monthly Payment Amount $265.27
Loan Term/Period 1 year
Areas/Cities Albuquerque, Santa Fe
State(s) New Mexico
Country United States
Classification of Lender Private lender
FICO Score 575

$5,000 Loan After Personal Bankruptcy in Colorado

For the last bankruptcy loan we are discussing today we are going to go a little ways up north from New Mexico, across the border, and into Colorado. This was a fairly recent application for a $5000 loan from a woman living in Denver Colorado. She had recently divorced (a common reason for personal bankruptcy as we discussed above) and she needed a quick $5000 to look after some bills there were outstanding, and that included some legal bills.

She works and lives in Denver and has so for the last 18 years. She didn’t grew up in Colorado, but moved there from Missouri back in the mid-90s. She works in an art supply store not far from the Valley Highway and West Colfax overpass area. We won’t go into any more detail than that so that we can protect this borrower’s privacy. Needless to say, what we are trying to point out (slowly – I know) is that the applicant is employed and able to make a payment each month on the loan.

She also found a private lender who was willing to provide her with a loan regardless of her recent bankruptcy. The interest rate on this loan was 15%, being one point higher than the last example, but still reasonable considering the circumstances at hand. This was for $5000, over a 12 month term, with a total of $390 paid in interest. This loan is a little bit different though in that her payments were made biweekly for $206.

You would be surprised at how many people, who have claimed bankruptcy quite recently, make their payments on time, and in full. Statistically speaking, people who have declared personal bankruptcy end up becoming much tighter with their expenditures, and don’t want to go through the same process again.

The statistics we have seen through our website show that 98% of borrowers who recently claimed bankruptcy pay their lenders on time without a single hitch. This is a big win for the lenders because they are getting rates of return on their money that are fantastic, with a risk level that really isn’t that bad. On top of that, the lenders get to speak with, and communicate with the borrowers by phone, by Skype, or by e-mail so that they can ensure themselves that their risk factor is as low as possible.

So in the table below you can see that we mentioned Colorado Springs and Fort Collins as well in the application. The reason being, that the lender’s scope of lending is only for a small area of Colorado, and in fact he has only ever lent money online to applicants from Fort Collins, Denver, and Colorado Springs. He did one other loan a little bit off of the beaten path (the beaten path being Highway 25 going North – South through Colorado). We see a lot of this with the lenders on FUSA – they want to do business at a local level.

If you have recently declared personal bankruptcy and you need a loan for any reason at all, it’s worth a try to put your pre-application in the form below. Have a great day, and remember – personal bankruptcy is not the end of the world (I have been there so I know) – you will regain your credit rating again, and you will be eligible for conventional loans in the future. You will find out that not having credit is not such a bad thing in the long run.

Applicant’s Loan Request Data Value
Loan Principal $5,000
Loan Product Type Loan after bankruptcy
Loan Cost Per $100 n/a – 1 year term
Total Effective APR on Loan 15%
Total Interest Paid to Lender $389.42
Total Paid Back To Lender $5,389.42
Biweekly Payments $206.7
Loan Term/Period 1 year
Areas/Cities Denver, Fort Collins, Colorado Springs
State(s) Colorado
Country United States
Classification of Lender Private lender
FICO Score 510