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We went bankrupt in October2006, and were discharged last may2007. So when will our credit report clear?. Also we have been offered a part-rent part-buy property through our local council, do you know of any company that would even consider helping us?. A third question is i'm just starting to save a little bit of money a week but i feel so guilty about our past debt, would the banks take any money even though we are discharged?

Hi Katrina,

Your bankruptcy will remain on your credit file for 6 years from the date of bankrupcty (assuming you have not had a Bankruptcy restriction order)

I have just asked our mortgage broker who belives for the first 12 months out of bankruptcy you will struglle so i would suggest waiting until the end of May until you source a mortgage and also depends onthe percentage you are intending to purchsae.

If you have been discharged then your creditors have no right to take any savings from you.

Carl

You may also struggle getting a mortgage with your credit status for a part ownership property. You need to speak to an independent financial advisor who specialises in the sub prime market.