Many people who file for bankruptcy only need to do so once. It solves their debt problems and helps to create a positive financial future. They may be facing overwhelming debt for a variety of reasons, and a bankruptcy filing can give them a fresh start.
But what if you run into problems again in the future? Are you allowed to file for Chapter 7 bankruptcy twice?
There is no limit to bankruptcy filings
The reality is that there is not a limit to the number of times you can file for bankruptcy. You can do it twice, three times or even more if necessary.
Rather than limiting the total number of filings, the law simply creates a waiting period. You cannot file again immediately. The waiting time depends on your original filing and the new type of bankruptcy that you would like to file for next.
For instance, if you file for Chapter 7 bankruptcy and then want to do so again, you need to wait eight years before the second filing. But if you want to use Chapter 13 bankruptcy the second time, then you only have to wait four years.
Similarly, if you start with Chapter 13 bankruptcy and then want to use it again, you have to wait two years. If you would like to use Chapter 7 bankruptcy the second time, then you may have to wait up to six years, but it depends on how your original Chapter 13 bankruptcy is discharged, so you may not have to wait the full six years in all cases.
Your bankruptcy options
If you are looking for a fresh start, bankruptcy is one option you may want to consider, and it is very important to understand how the process works. Be sure to carefully look into your legal options at this time.