Navigating the complexities of bankruptcy laws can be daunting, especially for individuals considering a second or third bankruptcy filing. If you’ve already utilized either Chapter 7 or Chapter 13 to tackle debt, understanding the eligibility and limitations for refiling becomes crucial. This post delves into the nitty-gritty of multiple bankruptcy filings and the intricacies of waiting periods, discharge eligibility, and exceptions to the rules.
Understanding the Time Frame:
For same chapter, back to back discharges, the clock starts ticking the moment your discharge order is entered, not when you first file or even when your case is dismissed or closed. This date, readily accessible on Pacer.gov or through your previous attorney, establishes your eligibility for a second discharge in subsequent filings. Remember, understanding the timing is key to maximizing your financial relief.
Filing Under the Same Chapter:
- Chapter 7 Refiling: A cool-down period of eight years is mandatory after your first Chapter 7 discharge before you can discharge additional debt.
- Chapter 13 Refiling: If you successfully completed a Chapter 13 plan, a two-year wait is required before attempting another Chapter 13 discharge.
Filing Under Different Chapters:
Here, the date of the actual bankruptcy case filing plays a significant role in discharge eligibility:
- Chapter 13 Followed by Chapter 7: A six-year gap between the Chapter 13 filing and the subsequent Chapter 7 is necessary for a full discharge in the latter. An exception exists if certain criteria, like paying 70% of unsecured claims in good faith, were met in the initial Chapter 13 case.
- Chapter 7 Followed by Chapter 13: Four years must pass from the first Chapter 7 filing to qualify for a full discharge in a subsequent Chapter 13 case.
What About Dismissed Cases?
In most scenarios, refiling after a dismissal is possible, barring specific exceptions related to dismissal reasons and prior filing history. Here’s a breakdown:
- Court Dismissal: Refiling for a discharge is possible if restrictions weren’t imposed, but beware. The automatic stay shielding your assets may shrink: down to just 30 days in some cases, and gone completely if you’re on your third filing in a row. Tread carefully and consider alternatives before refiling.
- Discharge Denial: Though refiling’s possible after a Chapter 7 denial under Section 707, the original listed debts won’t be discharged in the new case. However, Chapter 13 options might still exist for tackling those debts – explore further on how a Super Discharge can help.
Seeking Expert Guidance:
Navigating the intricacies of multiple bankruptcy filings can be complex. For personalized guidance and a comprehensive understanding of your options, consulting a qualified bankruptcy attorney like myself is highly recommended. I offer free phone consultations to help you make informed decisions about your financial future.
Remember, bankruptcy is a powerful tool for financial recovery, but I have learned that navigating its nuances requires careful consideration and expert counsel. By understanding the fine print around multiple filings and discharge eligibility, you can make informed decisions to achieve debt relief and financial stability.
