What should be included in a letter of explanation of bankruptcy?
If you apply for credit or a loan following a bankruptcy discharge, the lender may request that you provide a letter of explanation of bankruptcy, which is simply your written statement explaining the circumstances that caused you to file bankruptcy. Additionally, you should describe how your financial situation has improved, as the goal of a letter of explanation is to support your loan or credit application.
Other Consumer Bankruptcy FAQs
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Q:
What are the chances of renting a house during bankruptcy?
A: It is entirely possible to rent a house during your bankruptcy proceedings, but there are certain steps that you can take to maximize your chances of doing … More -
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How do I make a motion for judgment to be marked as satisfied in bankruptcy court?
A: The only way to remove a judgment against you in court records is to either pay off, or satisfy, the judgment, or to have the judgment discharged through bankruptcy … More -
Q:
How do I report bankruptcy fraud?
A: In order to make a report of suspected bankruptcy fraud, you should contact the U.S. Department of Justice (DOJ) by mail or e-mail. Your report should include … More -
Q:
What is a bankruptcy motion for reconsideration and how do I write one?
A: A motion for reconsideration asks the bankruptcy court to reinstate a bankruptcy case thathas been dismissed for one reason or another. In your motion, you … More
