Following a bankruptcy filing, you may find it difficult to rent. Landlords and creditors often view bankruptcy as a red flag, leading to denials. This blog post explores whether renting after bankruptcy is possible in Wyoming and provides strategies for improving your chances of approval. Additionally, you will learn how our dedicated Gillette Bankruptcy Lawyers can help you navigate these challenges.
Will Bankruptcy Affect Renting an Apartment or Home in Wyoming?
While filing for bankruptcy can provide relief from overwhelming debt, it’s crucial to be aware of the potential consequences. Bankruptcy can significantly lower your credit score and remain on your report for seven to ten years, depending on the chapter filed. Given the risk you pose to lenders and landlords, it can impact your ability to secure housing. However, bankruptcy won’t automatically result in your application being rejected, but it can be a substantial contributing factor.
Landlords typically run credit checks on potential tenants. As mentioned above, a bankruptcy filing can remain on your credit report for several years. Landlords are more hesitant to rent to someone with a lower credit score, as it indicates a history of not paying bills on time, making them appear financially unreliable. It’s important to note that some landlords even have policies against renting to those who have filed for bankruptcy, even if they have an otherwise good rental history.
Although it’s still possible to rent after bankruptcy, it may require additional effort. You may be able to find a landlord who is willing to accept less-than-perfect credit or you can offer a larger security deposit to offset any perceived risk. Keep in mind that the more time that passes in between your bankruptcy, the less impact it will have on your ability to rent as long as you’ve continued to manage your finances responsibly.
What Can I Do to Improve My Chance of Approval for a Rental?
To mitigate the impact, you should be upfront about your bankruptcy and explain your current financial situation to the landlord when applying for a rental. For instance, you may explain that you accumulated debt due to an unexpected health issue or inadequate insurance coverage. This can help them better understand the unique situation that led to your filing. It’s important to be transparent. You should also work on rebuilding your credit score by making timely payments on your bills.
Furthermore, you should demonstrate that you have a stable source of income and a reasonable employment history. This can significantly improve your chances of getting approved for a rental as it shows your ability to consistently pay rent. You should also consider a co-signer. This will provide added financial security for your landlord as your co-signer will be responsible for your rent payments if you cannot afford them yourself.
Despite the benefits of bankruptcy, it can negatively impact various aspects of your life, including your ability to rent. At 307 Bankruptcy, we are prepared to guide you through these complex matters. If you’re ready to file, please don’t hesitate to contact our firm today to learn how we can assist you.
