Today, there are greater choices than ever of loan programs, for people with bankruptcies or other credit issues. Bankruptcy no longer has to get in the way of obtaining a mortgage.

Traditionally, homeowners who filed a Chapter 13 Bankruptcy had limited options to refinance to lower their payments and otherwise improve their financial situation. Even if they had a perfect payment history under their bankruptcy plan, these homeowners were stuck for 3-5 years until the plan was completed.

This is because traditional banks would automatically turn down people that have filed bankruptcy. But today, more lenders have shifted their guidelines to a more common sense approach of underwriting. Lenders now understand that sometimes unforeseen life events happen to everyone such as, divorce, death in the family and unexpected medical expenses.

These select lenders are willing and able to provide low, attractive interest rate loans to homeowners still struggling in their Chapter 13 bankruptcy plan! Which now gives homeowners the option get themselves out of their bankruptcy plan, clean up their credit and move on with their lives years before their plan is scheduled to end!

Of course, our program is not right for everyone. You need to qualify. The main qualification is that the homeowner has been in the bankruptcy for at least 12 months, so that means anytime after the first year, the homeowner will be eligible for a refinance, even if they were late on a few payments.

Industry statistics show that approximately 33% of people in a Chapter 13 complete it successfully. That means that a whopping 67% are dismissed for non-payment!

The reason for this is that once individual files chapters 13 bankruptcy, their combined payments are usually higher than their current payments and becomes more of a burden than a relief. Because of these attractive loan programs anyone in bankruptcy should definitely consider refinancing as an option to restructure their debt as they could be racking up unfair, undeserved penalties and interest as we speak...even if they're making their payments on time to the bankruptcy trustee! Who knows how good a job the trustee is doing keeping your payments on schedule and if they are not, this could create an even more adverse effect on one's credit report.