When clients call our bankruptcy law firm to schedule an appointment, one of the first questions we ask is “have you filed for bankruptcy before?” If so, “when did you file?” The answer is critical because there are set laws for how frequently an individual or couple can file for bankruptcy. While there are no set laws determining how many times you can file within your lifetime, there is a waiting period that must be observed between each filing. How long you need to wait between each bankruptcy filing will depend on the type you initially filed for and the type that you want to file for today.
Here are the general timelines to be aware of:
2 years
Once someone files for Chapter 13 bankruptcy, the repayment plan can last 3 to 5 years. If you received a Chapter 13 discharge and file another Chapter 13 within two (2) years of that filing, your unsecured, non-priority debts that you include in the new bankruptcy (presumably debts that arose since my previous bankruptcy discharge) cannot be discharged.
4 years
If you need to file for bankruptcy after having a Chapter 7 discharged, but cannot wait the 8 years, a good option may be to file for a Chapter 13. As a bankruptcy law firm, we can prepare and file a Chapter 13, even 4 years after the Chapter 7 filing. If you received a Chapter 7 discharge and file a Chapter 13 within four (4) years of the previous filing, your unsecured, non-priority debts that you include in the Chapter 13 (presumably debts that arose since my previous bankruptcy discharge) cannot be discharged.
6 years
A Chapter 13 is an effective way to catch up on debt payments and satisfy creditors. However, it does not wipe out all debts and many people need additional bankruptcy relief. In this case, 6 years must pass between the Chapter 13 filing and when one files a Chapter 7 bankruptcy. It is important to note that there are a few exceptions to this rule. We review each situation to see if they apply.
8 years
If you received a Chapter 7 bankruptcy discharge, then you must wait 8 years to file a new Chapter 7 case.
Warning
Filing bankruptcy for the first time is complicated. Filing multiple bankruptcy is more complicated given the time limits on repeat filings. This makes it critical to meet with a bankruptcy law firm the first time that an individual files for bankruptcy. As a bankruptcy law firm, we can analyze your situation. From there, we can provide you with different bankruptcy options. For example, some people want to try a Chapter 13 reorganization bankruptcy and pay back debt, but do not realistically have enough disposable income to sustain the payment plan.
In this scenario, it is far better to file for Chapter 7 than to file for Chapter 13. Looking forward to the future is a critical step in the planning process. Additionally, being realistic about one’s needs and financial capacities is also important. As a bankruptcy law firm, our job is to provide clients with sound legal assistance. It is also to to point out any potential pitfalls that we see.
Schedule a consultation
Call our offices to go over options available to you for multiple bankruptcy filings. Our consultations are free. Put our experience as bankruptcy lawyers to use to reach a better financial state.
This blog does not constitute legal advice and is for informational purposes only.