Information for Renting If You Have Filed for Bankruptcy

Bankruptcy is difficult enough without rental problems.

Bankruptcy is when a person or business seeks federal protection against debtors when they are unable to pay their debt. Bankruptcy carries with it some negative consequences which may affect your ability to rent a house or apartment.

What Landlords Look For

When looking for a renter, landlords typically look for somebody with a history of paying bills and debt on time. Obviously, they want to rent to somebody whom they believe has the ability to pay rent.

Strictness

According to LegalHelpers.com, large rental companies are typically more strict on their rules than individuals who rent out property. For a bankrupt renter, that makes going to an individual landlord the safest bet.

Security

Renters with bad financial history and bankruptcy may be able to offer the landlord a larger deposit for security. Doing so can go a long way in showing the landlord that you're serious and committed.

Eviction

A landlord may not evict an active renter for filing for bankruptcy. If the landlord went to court and got an order of eviction before you filed for bankruptcy, they may still be able to evict you.

Bankruptcy May Actually Help

Landlords dislike renting to people with large amounts of debt or bad credit. Bankruptcy eliminates your debt so, depending on the specific landlord, it may be better than having debt and trying to rent a place.

References

• Legal Helpers: Can I get an apartment if I have filed for bankruptcy?
• Real Estate Lawyers: Landlords and Tenants in Bankruptcy