what is worst on yr credit report for a lender a bunch of late pays or a bankruptcy?

Question

If you want to buy a house again is it better just to file 4 bankruptcy and wipe it all out or show a bunch of late pays on your credit cards and mortgage you have now??

Answer 1

Bankruptcy is worse; however, don't be discourage if you have one. Many banks offer "sub-prime" programs for individuals who have had a recent bankruptcy. Be prepared to put a lot down and pay high interest, but it is available. Check out the following article.

Answer 2

The problem with the bankruptcy is that it haunts you for 10 years. The late pays will drop off after 2. They both hurt your credit score about the same, it just depends how long you want to suffer from it.

Answer 3

As it pertains to credit scores, I'd have to go with lots of late payments.

I have seen several credit reports where someone filed bankruptcy before they actually missed any payments (generally due to large lawsuits or something big like that), and within a couple months of filing, they had 680 scores.

Had they allowed everything to lapse for a year, then go to collections, then file BK, they would've had 520 scores.

Answer 4

This is the order:

1/ 30-day lates ....acceptable so long as not within the last 12 months

2/ 60-day lates .....unsatisfactory credit rating and may need explanation

3/ 90-days lates and collection accounts....very bad and must be explained...

4/ Bankruptcy .... very very bad

5/ Foerclosure...unacceptable

Answer 5

NO BK!!

Just start with paying on time now. Try to catch up if you can or call the creditor and ask them to work with you and put the payments on the back end of the loan or take them off as being late so that you can get straightened out.

You will be surprised at how much they will help you if you call and are nice, apologetic and willing to pay what you can.