Did you file bankruptcy a few years ago and are now facing financial difficulties again?
Well, you may benefit for a second bankruptcy filing, but there are a few things you need to consider:
What type of bankruptcy did you file?
Was your recent bankruptcy a Chapter 7 bankruptcy or a Chapter 13 bankruptcy ? The bankruptcy chapter you filed will determine how long you need to wait to file another bankruptcy. If you filed a Chapter 7 bankruptcy, you can’t file another Chapter 7 bankruptcy until eight years later. If you filed a Chapter 13 bankruptcy, you cannot file another Chapter 13 bankruptcy until after two years have passed.
When did you file your bankruptcy?
Many people run into trouble after their Chapter 7 bankruptcy discharge they haven’t developed the habits necessary to stay out of debt or because they have experienced some type financial emergency. If you’ve been out of Chapter 7 bankruptcy for at least 4 years but not the 8 years required for eligibility to file a second Chapter 7 bankruptcy, you can file a Chapter 13 bankruptcy instead. If you filed Chapter 7 bankruptcy less than 4 years ago, you can still file Chapter 13 bankruptcy, you just won’t be able to get a discharge of any of your debts.
Will filing a second bankruptcy really help your financial situation?
If you won’t have access to bankruptcy discharge then filing bankruptcy may not be as helpful as you would hope, unless you have a solid plan for paying back all of your debts.
Is your debt dischargeable in your second bankruptcy?
Certain debts, such as student loans , alimony, child support and certain taxes cannot be discharged in bankruptcy. However, filing bankruptcy may be beneficial if it will help you repay those debts over a reasonable timeframe.