Did you know that there is no limit to the number of times you can file for bankruptcy? While there is no limit, you do need to know that there are time restrictions, as well as other requirements, that may prevent you from filing certain forms.
To understand when you can file, remember the following rules.
Filing for Chapter 7 bankruptcy after Chapter 7 bankruptcy
If you want to file for Chapter 7 bankruptcy after you’ve already gone through a Chapter 7 bankruptcy, you will need to wait a minimum of eight years from your last filing date before you file again.
Filing for a Chapter 13 bankruptcy after a Chapter 13 bankruptcy
The next thing to consider is filing for a Chapter 13 bankruptcy after a Chapter 13 bankruptcy. For this to work, you’ll have to wait at least two years from the previous filing date. This is a short amount of time, but it is very rare. Why? Chapter 13 bankruptcies generally take between three and five years to resolve.
Selecting Chapter 13 after a Chapter 7 bankruptcy
If you want to get a Chapter 13 bankruptcy after you’ve gone through a Chapter 7 bankruptcy, you have to wait four years. It might be possible to avoid the wait if your Chapter 7 bankruptcy couldn’t be completed as expected, though.
Getting a Chapter 7 bankruptcy after your Chapter 13 bankruptcy
A Chapter 13 bankruptcy discharge usually takes between three and five years. After you file, you have to wait a minimum of six years before you can file for Chapter 7 bankruptcy. There is an exception, though. If you previously paid your unsecured debts in full during the bankruptcy (or at least 70% made in good faith) then the court may waive the waiting period.
These are a few pieces of information to help you understand how often you can file for bankruptcy. There may come a time when you need a second bankruptcy, so knowing what you can do is important in helping you decide how to tackle your debt and start to get out of financial trouble again.