Will Afterpay Approve Me With Bankruptcies

A history of bankruptcy might not be an automatic disqualifier for Afterpay approval. However, the company likely evaluates each application individually based on various factors like your current financial situation and overall creditworthiness. Possibly,  Afterpay can assist in rebuilding your credit score through timely payments if approved and used responsibly.

Does Afterpay Consider Bankruptcy During Application?

Afterpay likely considers various factors to evaluate your application for their service. The company hasn’t disclosed the specific criteria they use to determine your eligibility and ability to make the required payments.

While a bankruptcy on your record doesn’t automatically disqualify you from using Afterpay, it is important to understand their policies and approval process:

  1. Afterpay evaluates each application on a case-by-case basis, considering factors like income, spending history, and potential credit score.
  2. Filing for bankruptcy or having insolvency proceedings instituted against you doesn’t necessarily prevent approval, but it could impact their decision.
  3. As part of their approval process, Afterpay reserves the right to conduct a pre-authorization on your payment method, temporarily holding an amount equal to your first installment payment (plus one cent).
  4. If you fail to make payments or breach their terms, Afterpay may consider you in default. In this case, they accelerate your remaining payments and potentially reserve the right to terminate your account access.
  5. Approval for one purchase order doesn’t guarantee approval for future orders, as Afterpay reassesses each application.

While bankruptcy itself isn’t a dealbreaker, here are potential implications and a few cautions to consider:

  1. Consult a bankruptcy lawyer – If you’re currently in active bankruptcy proceedings, it’s highly recommended to seek guidance from a lawyer specializing in bankruptcy law. They can advise you on the legal implications of using BNPL services like Afterpay during your case to avoid any complications.
  2. Maintain responsible financial management – If approved for Afterpay, it’s essential to make all payments on time and within the agreed terms. Missed payments could lead to default, account suspension, and potential damage to your recovering credit score.
  3. Explore alternative options – Secured credit cards or other credit-building tools may be worth considering as alternatives or complementary options for rebuilding your credit after bankruptcy.

When it comes to using Afterpay after going bankrupt in Canada, they might still let you use their service. However, the scenario is different for each user. If you’ve gone through bankruptcy, it is important to talk openly with Afterpay about it. You should also get advice from experts who understand bankruptcy laws in Canada.

Can Afterpay Help Rebuild Credit After Bankruptcy?

Using Afterpay the right way after going through bankruptcy might help build up your credit score again. This is because Afterpay may report your on-time payments to credit bureaus like Equifax and TransUnion in Canada. Making payments on time is really important when trying to improve your credit rating.

It is super important to be responsible with Afterpay. If you miss payments, there could be late fees, your account could get suspended, and it might hurt your credit score that you’re trying to rebuild. So, only use Afterpay for stuff you know you can afford to pay back in full within the 6-week payment schedule.

Afterpay isn’t the only way to start rebuilding credit after bankruptcy. A secured credit card is another popular choice. With these, you pay a refundable deposit upfront that becomes your credit limit. Using the card responsibly and making payments on time can help improve your score.

What if I’m Still Going Through Bankruptcy?

If you’re currently in the middle of bankruptcy proceedings, using Afterpay gets a bit trickier. There’s some uncertainty about whether it’s allowed while an active bankruptcy case is ongoing. To avoid any legal issues, it’s best to talk to a bankruptcy lawyer in your area. They can give you specific advice based on your situation.

If you want to try using Afterpay post-bankruptcy, reach out to their customer service team first. They can let you know the most up-to-date rules and whether your specific situation might affect getting approved for Afterpay.

It is also recommended to consult with a financial advisor or credit counselor who specializes in helping people recover from bankruptcy. They can give you a personalized plan for rebuilding your credit.


Having a past bankruptcy on your record doesn’t necessarily mean Afterpay will deny your application, but they look at each person’s situation individually. If approved and used carefully, Afterpay could assist in raising your credit score through on-time payments. No matter what option you choose, managing your money responsibly and never missing payments is key to successfully rebuilding your credit rating after bankruptcy. With patience, dedication, and the right guidance, it’s totally possible to bounce back and build a strong financial future.

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