Timing of Bankruptcy Discharge & Multiple Bankruptcy Filings – When to File?

Multiple Bankruptcy Filings

You already filed for bankruptcy but now you find that you need to file again.  How long should you wait to file another bankruptcy to qualify for bankruptcy discharge?

Previously Filed Chapter 7 Bankruptcy Case:

If you received a Chapter 7 Bankruptcy discharge in a previous case, you must wait 4 years before filing a new Chapter 13 Bankruptcy case from the date of filing of the previous Chapter 7 Bankruptcy case.

However, if you do not need a discharge, then you do not have to wait.  For example, if you are filing a Chapter 13 Bankruptcy for the purpose of saving your home from foreclosure or repaying your taxes or you are willing to pay a 100% plan. 

If you want to file a second Chapter 7 Bankruptcy case instead of a Chapter 13 Bankruptcy, you must wait 8 years from the date of filing of the previous Chapter 7 Bankruptcy case.

Previously Filed Chapter 13 Bankruptcy Case:

If you received a Chapter 13 Bankruptcy discharge in a previous case, you must wait 2 years before filing another Chapter 13 Bankruptcy case from the date of filing of the previous Chapter 13 Bankruptcy case.

If you want to file a Chapter 7 Bankruptcy instead, you must wait 6 years from the date of filing of the previous Chapter 13 Bankruptcy case.  There are 2 exceptions to the 6-year wait period:

1.  You paid 100% of the debt owed to your unsecured creditors in the previous Chapter 13 Bankruptcy case; or

2.  You paid at least 70% of the claims in the Chapter 13 and the plan was proposed in good faith and was your best effort.

However, if your previously filed bankruptcy case was dismissed, in most cases, you can file again without any timing limitation.  In some cases, however, a 180-day waiting period may apply if your case was dismissed for failure to obey a court order, failure to appear in the case, or you voluntarily dismissed the case after a creditor filed a motion for relief from the bankruptcy stay.

If you are in need of debt relief, call to schedule a consultation with Muoi Chea Bankruptcy Attorney at Sacramento, Stockton, or Fairfield, CA offices.  Cases are accepted throughout Northern and Central California from Vallejo, Benicia, Vacaville to Modesto and from Tracy to Woodland, Yuba City, Roseville and Rocklin, California.