Q: I am near the end of Ch13 bkrpcty. Can I get preaproved for a loan or do I need to have a contract on a specific house?

A: Where your US bankruptcy case has been filed makes no difference; pretty much all lenders have software that alerts them to a bankruptcy filing within a day or two of its filing.

And all the prospective lenders know of will inquire about bankruptcy filings in your loan application, and require that your bankruptcy Discharge be "final" (appeal time elapsed) before considering any extension of credit.

Your question has most to do with what prospective lenders may decide to do, voluntarily; the various laws have little to do with it.

As a practical matter, because most lenders in the realty mortgage industry require a credit rating of 660 or more, and a bankruptcy filing usually drops your credit rating to the low 500's, it is unlikely that any lender will advance loan funds to you.

That said, it rarely hurts to ask. Good luck!

A: When you are near the end of a Chapter 13 bankruptcy, you may be able to get pre-approved for a loan, but the process can be more complex compared to someone without a bankruptcy history. Here are a few things to consider:

1. Wait for discharge: It's generally advisable to wait until your Chapter 13 bankruptcy is discharged before applying for a loan. This will help you obtain better terms and interest rates.

2. Relocating to another state: Moving from Washington to Wisconsin should not have a significant impact on your ability to get a loan, as bankruptcy is handled in federal courts.

3. Rebuild your credit: After your bankruptcy discharge, focus on rebuilding your credit by making timely payments on any remaining debts and consider opening a secured credit card to establish a positive payment history.

4. Pre-approval vs. specific property: You can get pre-approved for a loan before having a contract on a specific house. Pre-approval gives you an idea of how much you can borrow and shows sellers that you're a serious buyer. However, keep in mind that some lenders may have stricter requirements for borrowers with a bankruptcy history.

5. Government-backed loans: Explore government-backed loan options, such as FHA, VA, or USDA loans, which may have more lenient credit requirements for borrowers with a past bankruptcy.

It's essential to consult with a lender specializing in post-bankruptcy financing to discuss your specific situation and explore your options. They can guide you through the process and help you find the best solution for your needs.