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When it comes to getting a mortgage refinance or other types of credit after bankruptcy, there are a lot of misconceptions. Here are a few of the most common post-bankruptcy mortgage refinancing myths specifically for Alaska residents.

Myth #1: You Can't Get Approved for a Mortgage Refinance After Bankruptcy

Because this is such a common myth, many people avoid bankruptcy out of fear that they will never get any type of credit again. The truth of the matter is that even after bankruptcy, you will continue to get offers for credit cards, auto loans, and yes, even mortgage refinances. There are many lenders out there who will be willing to work with you to get you the Alaska mortgage refinance loan you need.

Myth #2: You Can't Get a Good Rate on a Mortgage Refinance After Bankruptcy

While it is true that you may be asked to pay a higher rate on your Alaska mortgage refinance than someone with good credit, a bankruptcy may not affect your interest rate as much as you think it will. A recent survey of lenders showed that borrowers in Alaska who have a bankruptcy on their credit were asked to pay a rate that was only half a percentage point higher than someone with bad credit.

Myth #3: You Can't Get a Mortgage Refinance for at Least Two Years After a Bankruptcy