The timeline
- 1
During bankruptcy
No home loan. You must disclose your bankruptcy to borrow above a set threshold, and lenders won't approve one.
- 2
Discharge
Usually three years and one day after your statement of affairs is accepted; can be extended.
- 3
Day one to 12 months after
A handful of specialist lenders, with a larger deposit and higher cost.
- 4
One to two years after
More specialist options, better terms with clean conduct.
- 5
Insolvency info leaves your credit report
Mainstream lenders start to come back. Your bankruptcy stays on the National Personal Insolvency Index for good, so keep disclosing it.
What lenders check after discharge
- Your discharge date and confirmation from AFSA.
- Every credit event since discharge: one late bill can reset the clock.
- Your employment or business stability.
- Savings history, ideally built over several months.
- What caused the bankruptcy.
More on lender requirements: home loans after bankruptcy.
How to shorten the wait
- Start rebuilding immediately. A small, well-managed credit product paid on time builds fresh history.
- Save automatically. Regular deposits into a savings account are proof of discipline.
- Stay put. Changing jobs or moving house often makes lenders cautious.
- Avoid payday loans and buy now pay later. They read badly on bank statements.
- Enquire early. We can tell you what's possible now without leaving a mark on your credit file.
Bankruptcy versus other insolvency options
| Record | General lender view |
|---|---|
| Bankruptcy, recently discharged | Specialist lenders only, larger deposit |
| Bankruptcy, older and off your credit report | Many lenders, if conduct since is clean |
| Part 9 debt agreement, completed | Often viewed more kindly than bankruptcy |
| Personal insolvency agreement (Part X) | Treated case by case, often like bankruptcy |
Can bankruptcy be annulled?
In limited cases a bankruptcy can be annulled, for example if all debts are paid in full or the court decides it shouldn't have happened. An annulment is treated differently from a discharge. If you think this applies, get legal advice; AFSA's website explains the process.
What to do this week
- Request your credit reports from Equifax, Experian and illion.
- Find your discharge confirmation from AFSA.
- Set up an automatic savings transfer.
- Write a short, honest explanation of what led to the bankruptcy.
- Enquire with us to see where you stand. It won't affect your credit score.
What you’ll need
- AFSA discharge confirmation
- Credit reports
- Payslips
- Bank statements showing savings
Who it usually suits
- Discharged from bankruptcy
- Clean conduct since
- Stable income
- A deposit
