Since the economic meltdown in 2008, it has become increasingly difficult for people with a bad credit history to get any kind of loan. Lenders have become cautious and are fearful of loss, over the constant increase in bankruptcy declarations. Even if such loans are granted, there is a high amount of minimum charged as well as an increase in interests. The reason being the risks lenders take over providing bad credit customers with credit. If in case the already bad credit history customer creates the same default then the lender would surely be suffering a great loss.
Well, at the end of the day, it is still very much possible to get a mortgage loan, even if you have bad credit score, if you proceed in the right track, doing the right things at the right time. Never approach banks as they will never be willing to take any risks. So, instead you should consider private lenders and companies who would be more willing to take a risk against the mortgage loan.
Brokers, Private Lenders
Private lenders or small lending unions would take a step to accept low credit score individuals for the loan. You need to work quite hard in researching and finding for trustworthy organizations that can help you in this problem.