> ## Documentation Index
> Fetch the complete documentation index at: https://docs.homestar.goslate.dev/llms.txt
> Use this file to discover all available pages before exploring further.

# Edgecase: Evidence of Bankruptcy or Insolvency

<Note>This occurs when the applicant’s credit report shows any record of bankruptcy, insolvency, or related proceedings.</Note>

## Platform Action

Auto-escalation to human.

### Credit Operations – Next Steps

* Conduct a full review of the applicant’s credit history
* Assess:
  * Whether the bankruptcy has been discharged
  * Time elapsed since insolvency event
  * Impact on applicant’s current financial position
* Apply lending policy to determine eligibility or exclusion

## Example Situation

An applicant’s credit report shows a discharged bankruptcy from three years ago.\
The platform escalates the case. Credit ops confirms no ongoing insolvency, reviews current income stability, and proceeds based on lender policy for discharged bankrupts.