The Allmand Law Firm, PLLC Difference

Unlike most bankruptcy firms in the Dallas / Fort-Worth area, Allmand Law Firm, PLLC spends the time to understand the complete financial picture for every one of our clients. We provide resources, tools and advice to address the unique needs of North Texans.

How Bankruptcy Can Help You Get Your Driver's License Reinstated

Posted By Allmand Law Firm, PLLC || 14-May-2013

Driver's License Suspension Due to Outstanding Debt

Depending on state law regulations, a motorist may have their driver's license suspended if they have an outstanding debt related to a civil judgment. For instance, back child support payments or lack of insurance are common reasons why someone may have their license put under suspension. While it is true a suspension is a consequence, many in this situation have a legitimate argument in their favor; it becomes increasing difficult to make money when your ability to drive is taken away from you.

Debts That May Qualify for Bankruptcy Discharge

There are certain debts that may qualify for bankruptcy discharge in Chapter 7 bankruptcy, while others may be included in a Chapter 13 bankruptcy repayment plan. If you file bankruptcy, include the debt in question related to the suspension, you may be able to get your license reinstated by the DMV with proof of filing, or by showing a copy of your petition that has been filed with the bankruptcy court.

Keep in mind, you may need to pay a fee for reinstatement of your driver's license and provide proof of insurance. Contact the DMV to review requirements you need to meet in order to get your license reinstated.

So what debts may qualify for discharge or repayment? If you owe debt related from a minor fender-bender to an insurance company or individual or monetary damages in relation to a civil judgment or vehicle accident, the debt may qualify for discharge or elimination. Debt from malicious injury or DUI may be satisfied through a Chapter 13 repayment plan. As long as you make payments according to your plan you can get your licenses reinstated. If your case gets dismissed or you fail to make payments, your licenses could get suspended again by the DMV.

Considering Bankruptcy? You May be Able to Avoid the Suspension

While bankruptcy may help restore driving privileges, if you feel your driver's license is in danger of being suspended, contact an experienced bankruptcy attorney in Dallas-Fort Worth to review your options. You may be able to avoid the suspension. If you would like to set up a free consultation to hesitate to contact us today.
Categories: Bankruptcy
Blog Home