I get where you’re coming from, but I’ve actually seen old bankruptcies still raise red flags for some lenders, especially with jumbo loans or stricter underwriting. Even if your recent credit’s spotless, that bankruptcy can stick in the file and prompt extra questions. It’s not always a clean slate, unfortunately.
Even if your recent credit’s spotless, that bankruptcy can stick in the file and prompt extra questions.
That’s true, especially with jumbo loans or anything outside the standard conforming stuff. Some lenders just see “bankruptcy” and get cautious, no matter how old it is. But honestly, I’ve seen cases where a decade-old bankruptcy barely registers if everything else is rock solid—depends a lot on the lender’s risk appetite and what kind of loan you’re after.
Curious—has anyone actually had a lender ask for more documentation or explanations about a bankruptcy that was, say, over 7-10 years old? Or are we mostly talking about situations where the bankruptcy is still showing up on the credit report? Sometimes I wonder if it’s the underwriter being picky or just ticking boxes...
Curious—has anyone actually had a lender ask for more documentation or explanations about a bankruptcy that was, say, over 7-10 years old?
Yeah, I’ve seen it happen, especially with jumbo loans or if there’s any other “weirdness” in the file. Had a client last year with a bankruptcy from 9 years back—credit was perfect since, but the underwriter still wanted a letter explaining what led to it and how things changed. Felt like box-ticking, honestly. But if it’s off the credit report, most lenders seem to move on unless there’s something else that spooks them. Just depends who you get... some are way more cautious than others.
Honestly, I’ve had lenders dig up stuff from way back too. Like you said,
One time, I got grilled about a bankruptcy that was ancient history—felt like they were looking for a reason to say no. Most of the time, if it’s off your credit report, you’re in the clear, but every now and then you get that one underwriter who wants to play detective. Just gotta roll with it, I guess.“just depends who you get... some are way more cautious than others.”
Honestly, I’ve seen the same thing happen—sometimes it feels like they’re just fishing for a reason to make things harder. But you’re right, if it’s off your credit report, most lenders won’t care. There’s always that one who wants to dig deeper though. It’s frustrating, but it doesn’t mean everyone will treat you that way. Hang in there... persistence pays off.
