Discharged Bankruptcy 11 years ago - Applying for Home Loan

Discussion in 'Loans & Mortgage Brokers' started by Aaron83, 22nd Nov, 2021.

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  1. Aaron83

    Aaron83 New Member

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    Hi everyone, so I am currently in the midst of applying for the Victorian Homebuyers Fund and I thought everything will be ok as it didn't even cross my mind.

    But on the Bendigo Bank application they ask if I have ever been bankrupt. So I was bankrupt in 2007, due to a family business situation gone wrong, and dodgy things my mother did to me when I was much younger, and I was discharged in 2010. Sadly I didn't even know I was bankrupt until 1 year into it (as I said, dodgy things my mother did to me when I was younger)

    It's no longer on my credit file but I know that it remains on the NPII forever, only found out about this today, I was always told once it's off my credit file I would have no issues in the future (that is what the bankruptcy lawyers told me). So my question is how likely will this make my application unsuccessful? I have had several personal loans paid back in full never missed any payments and have had a credit card with no missed payments ever through NAB.

    My credit file is clear and I have a good credit history. I am just not sure if the banks will not even bother looking at it now that I have checked the box because I want to be honest and that now Automatically rules me out? Thanks for any of your help/advice. I am just freaking out and really down now thinking that this is all coming back to haunt me again :(
     
  2. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    It won't automatically rule you out.
     
  3. Aaron83

    Aaron83 New Member

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    So what you are saying that there may still be a chance that they will look at it?
     
  4. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Yes, i don't know their policy but it is possible. The higher the deposit and the longer ago it was the better.