While the actual formula used to calculate credit is a secret, it is clear that things like a foreclosure have a negative effect. How negative? The effect is negative enough that lenders tend to charge close to or at the cap of interest rates in Missouri, currently set at 26%.

And while many lenders will still allow you to purchase a car, the terms of your agreement might be a deal breaker. You're probably thinking, "But James, wouldn't it be better than having a Chapter 13 or Chapter 7 bankruptcy in Missouri and Illinois on my credit?" The answer may surprise you.

Neither a foreclosure nor a bankruptcy on your credit report makes it impossible to get a car loan; the difference is that filing bankruptcy is considered by many to be a responsible move. Many employers, family members, and even lenders will see that you were under the stress of debt and actually did something about it. It isn't every person that can say, "I took a hard look at my debt and did something about it!". So, having a Missouri or Illinois bankruptcy on your credit report may not be as bad as you think. Plus, having an experienced St. Louis Missouri or Fairview Heights Illinois bankruptcy attorney on your side will surely help you. If you find a Missouri or Illinois bankruptcy lawyer who is willing to educate you before and after your bankruptcy, you can learn the best ways to build your credit back up, find good lenders to purchase a new car, and make the right moves to ensure you'll never need protection from foreclosure again.

More importantly, Missouri or Illinois bankruptcy can protect your family and help you keep your home.

So, does that mean that it is always easier to get a car with a bankruptcy on your credit instead of a foreclosure? Not necessarily. There is an exception to every commonly held belief; but, why take your chances? You could keep your home and keep a foreclosure off your credit report with a bankruptcy. Plus, if your house is in danger of or is currently in foreclosure, you probably need help with other debts too. You may be surprised what bankruptcy can do for you.


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Missouri Bankruptcy attorney James Brown has been working to relieve the debt of hard-working American families for over 15 years. He has dedicated his career to educating consumers about options for debt relief and has released 5 publications, including, "Get Out of Debt: Secrets Your Creditors Don't Want You to Know." You can request a free copy at http://www.castlelaw.net