How Long Do You Need To Wait Between Bankruptcy Filings
How long you will need to wait will depend on the type of bankruptcy that you are interested in filing and what type of bankruptcy you filed lastas there are different restrictions for each.
- SuccessiveChapter 7 Cases:You must wait at least 8 years
- SuccessiveChapter 13 Cases:You must wait at least 2 years
- Chapter 7, then Chapter 13: You must wait at least 6 years
- Chapter 13, then Chapter 7: You must wait at least 4 years
What If My Debt Was Not Discharged In The First Case
If certain debts were notdischarged during the first bankruptcy, either because your case was dismissed or the discharge was denied, it is important to understand that different limitations would apply.
If the original case was dismissed because you had failed to follow a court order and/or appear in court, for example, you would only need to wait 180 days before filing again.
If the court had simply decided not to discharge certain debts during the first case, however, things may become a little trickier.
Since you would not be entitled to a discharge of any of the same debts that were included in the first case, it may not be in your benefit to pursue a second case.
In order to determine which course of action is right for you, it is recommended that you contact a Kansas bankruptcy lawyer from Kansas Bankruptcy Center.
When Restrictions Don’t Apply
Under certain circumstances, you would not need to worry about time limitations for a second bankruptcy filing. If your first petition was dismissed because you had failed to appear in court, you would only need to wait 180 days before filing againregardless of whether or not you would be filing under the same chapter.
In the event that you were not granted a discharge of debt in the original bankruptcy case, you may also choose to re-file without restrictions. It is important to understand that the court may not discharge the debt that was included in the original case, however, so this decision should be carefully considered with a Chicago Bankruptcy lawyer.
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Timing Of Previous Bankruptcy Discharge
You can always file another bankruptcy case. However, if youd like to receive a second discharge of your debts, you must wait until a fixed period elapses. The amount of time will depend on:
- the type of bankruptcy you previously filed
- the bankruptcy type you plan to file
- whether your previous case was dismissed or discharged, and
- the filing date of the last case.
Heres the timetable for receiving a discharge in a second bankruptcy case:
- Chapter 7 to Chapter 7. If you received a discharge of debts in your first case, you must wait eight years to file your second Chapter 7 case.
- Chapter 7 to Chapter 13. Four years must elapse before filing a Chapter 13 discharge case.
- Chapter 13 to Chapter 13. You must wait at least two years before filing another Chapter 13 matter.
- Chapter 13 to Chapter 7. A Chapter 7 case can be filed six years after the Chapter 13 filing. The six-year rule does not apply if you paid back all of your debt in the Chapter 13 case, or you paid back 70% of your unsecured debt, and you proposed the plan in good faith .
What Is Surplus Income
In a bankruptcy or consumer proposal, surplus income is defined as the amount of money you earn in excess of the current government threshold in a one-month time period. If your income is $200 per month or more over this threshold, you will pay a portion of it into your bankruptcy.
The principle at play here is that it is only fair to pay your creditors some of your income for a period of time, if you are able, since otherwise they will recoup very little of what you owed them.
It is not wrong or a bad idea to make surplus income, as you will keep a portion of this money. Only 50% of your income above the threshold amount is paid into your bankruptcy.
However, when you have surplus income, whether this is a first or second bankruptcy, you will remain in bankruptcy longer than if you did not have surplus income.
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Should I File Now Or Wait
A lot of people wonder how long they must wait before they can get another discharge. If you did not receive a discharge in your prior bankruptcy case and your case was not dismissed for the reasons stated above then you have no waiting period and can file immediately. Otherwise, your waiting period depends on what Chapter you want to file now and what Chapter you filed in the past.
You will see the different bankruptcy chapter combinations and remember the number of years means the minimum time that must transpire between filing dates of the two cases in order for your new case to be eligible for a discharge.
Filing Chapter 13 After Chapter 7
You must wait four years if you want to file Chapter 13 after first filing Chapter 7. This timeframe applies if you are hoping to achieve a second discharge. If a secured debt has become burdensome, you may wish to file Chapter 13 merely to catch up on the debt without seeking discharge of the debt. Think of a home loan with a hefty mortgage remaining its not practical to think that this debt can be fully discharged in bankruptcy, but it does make sense to catch up on the payments. Some call this type of approach Chapter 20, though this is not an official term.
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Filing For A Second Bankruptcy In California
If you are filing for bankruptcy in California, you are not alone. At close to a quarter million annual petitions, California has more bankruptcy cases than any other state, and 97% of these are consumer filings. For most of these filers, bankruptcy will be a once-in-a-lifetime occurrence. But 8% of all bankruptcy filers will return to court in the future to claim bankruptcy once more.
The good news is that if youre struggling with debt, you are allowed by law to file not only for a second bankruptcy but also a third, fourth, etc., if necessary. The caveat is the waiting period between bankruptcies, an issue for which United States Bankruptcy Courts maintain strict stipulations.
Filing A Second Chapter 7 Bankruptcy
You must wait eight years from the filing date of your first Chapter 7 bankruptcy to file another. This time lag is partially due to the government’s effort to reduce bankruptcy abuse. Before the 2005 bankruptcy reform, a debtor only had to wait six years before filing for a second Chapter 7 bankruptcy. However, if you are filing a Chapter 7 bankruptcy after a Chapter 13 dismissal, you may do so immediately, unless the court has entered an order prohibiting you from doing so.
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Consider The Cons Of Double Filing
If you file too soon, you cannot legally have another debt discharge until the time limits have passed, so the process could waste your time and money.
Furthermore, if a judge finds that you have filed again “in bad faith,” they will stop your automatic stay , unless you can provide clear and convincing evidence that you filed in good faith. They might even throw your case out.
Consequences Of Filing Bankruptcy More Than Once
There are, however, implications and consequences of filing bankruptcy more than one time.
One of the most serious implications of a second bankruptcy is that you will be bankrupt for a longer period of time. The first time you file bankruptcy you are eligible to be automatically discharged from bankruptcy in nine months . In a second bankruptcy the length of bankruptcy increases to a minimum of two years, and increases to three years if you have surplus income.
A second bankruptcy will also have an impact on your credit report. The major credit reporting agencies in Canada generally report a first bankruptcy for six or seven years after the date of discharge. A second bankruptcy can remain on your credit report for up to 14 years, or twice as long as a first bankruptcy. That can negatively impact your ability to borrow in the future.
How often can you file bankruptcy? It is possible to file bankruptcy for a third time, but if you do you will be required to attend a discharge hearing in bankruptcy court. You will be required to explain to the judge why you filed bankruptcy three times, and it will be up to the court to decide if and when you get discharged. The court could impose conditions on your discharge, such as holding your bankruptcy open for an extended period of time, or requiring you to make additional payments. A third bankruptcy is something to avoid.
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How Soon Can I File Bankruptcy For The Second Time
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We dont live in a perfect world. Thats why there are laws in place that are there to protect us from our own mistakes. One such helpful tool the law provides for us is bankruptcy. Sometimes we find ourselves in an impossible financial situation by no fault of our own. Sometimes we find ourselves in an impossible financial situation and the fault can be laid squarely at our feet. And then there are the times that we find ourselves in an impossible financial situation, file bankruptcy, get a fresh start and then find ourselves in an impossible financial situation again.
In this situation, you would need to know how soon you could file bankruptcy for the second time. Bankruptcy law states that you can only file for Chapter 7 bankruptcy and receive a discharge of your debts once every 8 years. For those who find themselves facing creditor lawsuits or foreclosure, etc. before they have reached the 8-year mark, they have the option of filing for Chapter 13.
If you are in need of advice on filing bankruptcy for the second time and what options are open to an individual who has multiple bankruptcies, contact the southern California bankruptcy experts at Westgate Law.
*Images courtesy of freedigitalphotos.net
What If You Didn’t Receive A Discharge In The First Case
In most situations, you can file again and receive a discharge in the second bankruptcy if you didn’t receive one in the first matter. But that’s not always the case. Also, you lose the full benefits of the automatic staythe order that stops creditors from collectingwhen you file multiple bankruptcies in quick succession.
The court dismissed the first case
- Unless the court orders otherwise, you can file again. A 180-day waiting period may apply if you failed to obey a court order or appear in the case, or you voluntarily dismissed the case after a creditor filed a motion for relief from the bankruptcy stay.
The court denied your discharge
- You might be able to file again, but you probably won’t be entitled to a discharge of the debts listed in your first case. This is another unusual circumstance wherein you would be wise to seek the advice of an experienced bankruptcy lawyer.
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Rules For Filing A Second Bankruptcy
Depending on the type of second bankruptcy you want to file, there may not be a waiting period or a waiting period of up to eight years. A second bankruptcy may also be filed after a dismissal of the first one. A dismissal is different from a discharge. A discharge releases you from any liability to your creditors, while a dismissal is when the court throws out your case before it is completed. Usually, a dismissal arises from a failure to file necessary documents or failing to make payments under a Chapter 13 repayment plan.
Issues With Chapter 7 Conversion
When you file for Chapter 13 bankruptcy, part of the process will be that the court will officially approve a repayment plan you must follow to receive a final discharge. If you cant agree on a plan that the court will approve, in some cases, you can convert your filing to Chapter 7.
However, if you already filed once, you have these varying time requirements before your second discharge. So, converting a Chapter 13 filing to Chapter 7 can be a problem. You may be past the amount of time required to receive a discharge with Chapter 13, but not long enough to receive a discharge with Chapter 7.
This makes having the right bankruptcy services on your side even more essential on a second bankruptcy, because you may be navigating some tough waters.
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When A Second Bankruptcy Discharge Isnt Needed
If your case isnt a serial filing, you can file a case earlier than the rules allow if you dont need to wipe out any debt. For instance, an individual with nondischargeable debt might want to propose a payment plan in a Chapter 13 bankruptcy.
Not only will the filer get to stretch out the debt payment over three to five years, but because the payment plan will be under the protection of the bankruptcy court, the debtor wont need to worry about collection efforts like wage garnishments or bank levies.
Chapter 20 Bankruptcy: Filing Another Bankruptcy Before The Time Limit Is Up
The time limits above refer to how long a debtor has to wait to discharge debt through another bankruptcy. If you aren’t looking for another debt discharge, but would like to arrange a plan to manage your remaining debts, filing a Chapter 13 bankruptcy immediately after a Chapter 7 discharge might be an option for you.
Filing for Chapter 7 and Chapter 13 in succession is informally called a “Chapter 20 bankruptcy.” The process of filing for Chapter 13 right after the Chapter 7 discharge process can be complicated, and many courts will not allow a double filing before the time limit is up. An attorney can explain the strategy behind double filing and how it may fit into your specific circumstances.
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Filing For Bankruptcy A Second Time Get A Free Consultation
Filing bankruptcy can be complicated and depend on the nuances of your situation. know what you are going through and the most effective path to move forward.
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Time Limitations For Multiple Bankruptcies
Although most people assume thatfiling for bankruptcy will take care of their debt-related issues once and for all, some may find themselves in financial turmoil later on down the road. Under these circumstances, it may be necessary to circle back to the idea of filing for bankruptcy yet again.
Although federal law would not prohibit you from filing a second time, it is important to understand that it does place limitations on how often the court can grant a discharge of debt. For this reason, it may be necessary to wait a certain period of time before undergoing this process an additional time.
Have questions about filing for bankruptcy twice? Reach out to our Wichita bankruptcy attorney at 836-3617 orfill out our online contact form now.
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Can You File For Bankruptcy Twice
You may have filed for bankruptcy in the past and may find yourself in a situation where you need to file a second time, but dont know if you can or not. The good newsis that there is no limit on how many times you can file for bankruptcy. There is just a limit on how long you must wait before you can file a second time.
No matter if this is your second or even fourth time filing for bankruptcy, you must know the time limit and restrictions you will face. The Ohio bankruptcy lawyers of Bates& Hausen, LLC have years of experience helping people in your situation.
If you need help in filing for bankruptcy, you can speak with someone now at our Akron office by calling 678-0626.
Youve Been Bankrupt Once Due To Life Circumstances A Job Loss A Divorce Lack Of Knowledge About Managing Debt Or Other Issues Once Discharged From Bankruptcy You Started To Claim Your Life Back Re
You may consider filing for bankruptcy a second time. You may recall from your previous experience that this will provide you with relief from amongst other things, collection calls. However, the rules are slightly different a second time around.
Firstly, it takes longer to be discharged from a second bankruptcy. You will be entitled to an automatic discharge 24 months from filing provided there is no surplus income. Surplus income is money earned over the government-set limits, which varies depending on your family situation. If there is surplus income the discharge will take three years. It is also important to know that you will be accountable to the Trustee for your income over this period and any assets you may receive .
Secondly, a second bankruptcy will remain on your credit report for 14 years from your discharge, rather than the six years in a first bankruptcy. That will make it difficult, though not impossible, to rebuild your credit again.
You have other options which a Trustee in bankruptcy will be able to assess as they review your financial situation. One such option may be a consumer proposal. This will allow you to keep your assets and will lessen the impact on your credit report.
When considering bankruptcy a second time, carefully evaluate whether its the best option given your set of circumstances. It is highly recommended that you consult with a Trustee in bankruptcy before deciding to file for a bankruptcy, second time around.
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