Bankruptcy is a powerful legal tool that has helped many unfortunate debtors
emerge from seemingly insurmountable debt. Because bankruptcy can be an
immensely advantageous tool to those experiencing financial difficulties,
some consumers tend to think that once you file bankruptcy, you can’t
file again. This simply isn’t true.
While every case is different, the U.S. bankruptcy code does permit people
who have filed for bankruptcy in the past to file a new case. However,
there are time restrictions in place to ensure consumers don’t abuse
the benefits of bankruptcy. The good news, however, is that it can be
an option if you are in need, and our Dallas bankruptcy attorneys at Allmand
Law Firm, PLLC can help you better understand if you are eligible to file
a new case during a free consultation and explore all of your available options.
To help you better understand federal laws regarding time restrictions
on bankruptcy filings, we have put together the following information
based on the Chapter of
bankruptcy you filed under:
Chapter 7 bankruptcy – If you filed for Chapter 7 bankruptcy in the past, which allows
qualifying debt to be wiped away or discharged, you will have to wait
8 years before you can file under the same chapter again. This may vary
if you filed but were not granted a discharge. If you filed for Chapter
13 bankruptcy in the past, you may qualify to file for Chapter 7 bankruptcy
in six years.
Chapter 13 bankruptcy – Chapter 13 bankruptcy restructures debt through a repayment plan
for up to 5 years and you may be eligible to file Chapter 13 again after
2 years of getting a discharge from the previous payment plan. If you
filed for Chapter 7 bankruptcy in the past but want to file under Chapter
13 with your new case, you can file after 4 years after getting debt discharged.
In some cases, the timeline of when you can file again may vary depending
on the dismissal of your previous bankruptcy. Some cases get dismissed
before debt is discharged which can happen for a number of reasons such
as failing to appear in court, incomplete paperwork or defaulting on a
Chapter 13 payment arrangement. If your case was dismissed for such reasons,
you may only have to wait 6 months to begin the process again.
Bankruptcy does indeed have its advantages, but even people who have gone
through the process before may find themselves back in financial trouble.
By bringing your situation to the attention of our legal team and Board
Certified Bankruptcy Specialist Reed Allmand, you can learn more about
filing a new case, as well as other debt relief options that may provide
you with the help you need outside of a bankruptcy filing.
To learn more about what our firm can do to help you on the path toward
contact us today for a FREE financial empowerment session!