By Steven Hyde, Founder, Hyde Funding · NMLS #391380. Reviewed October 27, 2026. Hyde Funding is a mortgage lender headquartered in San Diego, lending nationwide since 2015, and is not affiliated with the U.S. Department of Veterans Affairs.
Short answer: Under VA regulations, a Chapter 7 bankruptcy doesn’t disqualify you by itself. Within 12 months of discharge, approval is generally not possible. Between one and two years, you need re-established credit and a bankruptcy caused by circumstances beyond your control. During a Chapter 13, you can be considered after 12 months of satisfactory plan payments with trustee or court approval (38 CFR 36.4340).
Under 38 CFR 36.4340: within 12 months of discharge, approval is generally not possible. In the 1–2 year window you need new credit paid satisfactorily and a verified cause beyond your control (job loss, uninsured medical bills; divorce generally doesn’t count). After 2 years, the bankruptcy is weighed with the rest of your file.
Eligible for consideration after at least 12 months of satisfactory plan payments, with the trustee or bankruptcy judge approving the new credit (38 CFR 36.4340).
On-time payments on current accounts since the bankruptcy: rent, a car loan, a secured card. See credit repair before a VA loan. We can also refer you to a trusted credit repair partner.
If a VA loan was discharged and VA paid a claim, part of your entitlement may be tied up until restored. See full entitlement.
Approval within 12 months of discharge is generally not possible. Between 1 and 2 years, you need re-established credit and a cause beyond your control (38 CFR 36.4340).
Yes, after at least 12 months of satisfactory plan payments with trustee or court approval (38 CFR 36.4340).
Yes. All credit profiles are welcome. If you need deeper credit work, we can refer you to a trusted credit repair partner.
Talk to Steven: (858) 775-1005 · Free VA consultation · Apply now
Steven Hyde, NMLS #391380. Equal Housing Opportunity. Hyde Funding is not a government agency and is not affiliated with the VA. This is general information, not a loan commitment; terms depend on credit, income, property, and lender approval.