Quick answer
You can get a loan after bankruptcy, though early offers usually come with higher APRs and smaller amounts. Bankruptcy can stay on credit reports for up to ten years, but its effect fades as you add on-time payments. Secured cards, credit builder loans and small, well-managed installment loans are common first steps.
Bankruptcy is a reset, not a life sentence. Lenders will look closely at what you have done since, and that is the part you control.
How bankruptcy shows on your credit
The CFPB says bankruptcies can stay on your credit report for up to ten years, while most other negative information can be reported for up to seven. The impact usually lessens with time and new positive history.
Chapter 7 vs Chapter 13 and new credit
- Chapter 7 ends with a discharge of many debts, according to the U.S. Courts. After discharge, you can start building new credit.
- Chapter 13 involves a repayment plan, usually three to five years. Taking on new debt during the plan generally involves your trustee, so ask before you apply.
After discharge: check your reports
Make sure discharged debts show a zero balance and are marked as included in bankruptcy. If not, the CFPB explains how to dispute errors with the credit reporting companies.
Safer first steps
- Secured credit card. Small limit, paid in full monthly.
- Credit builder loan. Builds history and savings. See credit builder loans.
- Small installment loan only if you need the money and the payment is comfortable.
What an early loan might cost
| APR | Monthly payment | Total interest |
|---|---|---|
| 35.99% | $177.13 | about $1,251 |
| 29.99% | $167.72 | about $1,025 |
| 21.99% | $155.62 | about $735 |
Illustrations, not offers. As your new history grows, refinancing into a lower APR may be possible.
Avoid
- Lenders that ask for upfront fees.
- Borrowing more than you need because you are finally approved.
- Payday and title loans.
For a realistic timeline, read how long it takes to rebuild credit.
When you are ready, use the form on this page to see whether partner lenders may have an offer for your profile, or call (800) 236-7761. Compare every offer by APR and total cost before you accept.
Examples are illustrations, not offers. Approval, APR and terms depend on the lender, your state and your credit profile.
Frequently asked questions about loans after bankruptcy: when and how to borrow again
How soon after bankruptcy can I get a personal loan?
Some lenders consider applicants soon after a discharge, often at higher APRs. Many borrowers find better offers after a year or more of on-time payments on new accounts.
Can I borrow during Chapter 13?
Taking on new debt during a Chapter 13 plan generally involves your trustee or the court. Ask your trustee before applying.
How long does bankruptcy stay on my credit report?
The CFPB says bankruptcies can stay on your credit report for up to ten years.
What is the best first loan after bankruptcy?
Often a secured card or credit builder loan, which builds history with little risk. If you need cash, choose a small fixed-payment loan you can comfortably repay.
Sources
- CFPB: How long does information stay on my credit report? (accessed 2026-10-09)
- United States Courts: Chapter 7 Bankruptcy Basics (accessed 2026-10-09)
- United States Courts: Chapter 13 Bankruptcy Basics (accessed 2026-10-09)
- CFPB: What are some ways to start or rebuild a good credit history? (accessed 2026-10-09)
- CFPB: How do I dispute an error on my credit report? (accessed 2026-10-09)
Last updated 2026-10-09. How we research and update pages.