Even as unemployment continues to go down, many people are living with more debt than they can handle. When this happens, they often consider their bankruptcy options. At The Law Offices of Paul Y. Lee we can provide a free consultation so you can find out if bankruptcy is right for you. In the meantime, we can cover a common question people have: Can they file for bankruptcy more than once? And if so, how much time must pass between filings?
There are no restrictions on how many times you can file for bankruptcy
There are currently no restrictions as far as how many times you can file for bankruptcy. That said, there are limits on how many times you can obtain a bankruptcy discharge. The discharge is the part of the process that actually eliminates liability for debts.
Whether or not a person is eligible for another bankruptcy discharge depends on several factors, including what type of bankruptcy they previously filed for and what type they are attempting to file. For example, if a person filed Chapter 7 and had their debts discharged, they cannot file Chapter 7 again for eight years.
If they filed Chapter 13 then the amount of time they would have to wait is not so cut and dry. In most cases, a Chapter 13 bankruptcy will take between three and five years to be fully discharged. This is much longer than the four to six months a person can expect when filing Chapter 7. That said, once the Chapter 13 is discharged, a debtor can then refile for Chapter just two years later.
The third option is a person who filed for one option, had it discharged, and now wants to file another type of bankruptcy. In this case, if a person filed Chapter 7 and had it discharged, they would need to wait four years from the initial filing date of Chapter 7 to be eligible for a Chapter 13 bankruptcy.
Conversely, a person who has a Chapter 13 bankruptcy discharge would need to wait six years to file Chapter 7 – unless the debtor was able to pay back their unsecured debts in full under the Chapter 13. In that case, they could file for Chapter 7 without waiting.
Talk to a bankruptcy attorney to find out what the best option is
Are these options confusing? Have you never filed for bankruptcy before? Or have you filed but never had your bankruptcy discharged? No matter where you are in the process, you can benefit from talking to a bankruptcy attorney. Call The Law Offices of Paul Y. Lee at 951-755-1000 now for your free bankruptcy consultation. We are standing by to ensure you understand your options and can make the most informed choice.
