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Why you can’t file for bankruptcy just yet

On Behalf of | Mar 25, 2024 | Bankruptcy

Bankruptcy is a process that helps many people, like yourself, resolve overwhelming debt obligations, such as medical bills, credit card debt and student loans. The most common form of bankruptcy is Chapter 7 bankruptcy, which can resolve most debt obligations. Alternatively, people have applied for Chapter 13 bankruptcy and reorganized their debts so they were easier to pay.

If you are facing overwhelming debt obligations again, you could file for bankruptcy a second time. People can apply for bankruptcy any number of times during a lifetime. You may need to wait several years before you can file again. Here is how long you may need to wait:

Filing for Chapter 7 bankruptcy again

Chapter 7 is the quickest form of bankruptcy, which can mean you will need to wait longer before filing for bankruptcy again. If you previously filed for Chapter 7 bankruptcy and want to make a new filing, you may need to wait 8 years. If you want to file for Chapter 7 bankruptcy and you previously had your debts resolved through Chapter 13 bankruptcy, you may need to wait 6 years.

Filing for Chapter 13 bankruptcy again

Because it can take several years to pay off debts under a Chapter 13 bankruptcy filing, you may not have to wait long to file for bankruptcy again. Filing for Chapter 13 bankruptcy after a previous Chapter 13 discharge can result in a 2-year waiting period. The standard amount of time to file a Chapter 13 bankruptcy filing after a Chapter 7 discharge is 4 years.

Whether you filed for Chapter 7 or Chapter 13 bankruptcy previously, it may benefit you to seek legal help to learn about your options.