Filing for bankruptcy is an important chance for a lot of people to get their financial feet back on the ground. But sometimes, unforeseen events like medical expenses, unemployment, divorce, or some other issue arise years after filing for bankruptcy. For those who have gone through the process before, one of the questions they might ask is: Can I file for bankruptcy a second time?

The answer is yes, but depending on certain factors, you will be allowed to do so after a specified period of time.

Filing Chapter 7 after Chapter 7

If you have been discharged under Chapter 7 bankruptcy law, in most cases, you will need to wait for eight years from the date on which you filed your previous Chapter 7 case to file another Chapter 7 and obtain another discharge. 

Although an eight-year period may seem long, it ensures that Chapter 7 bankruptcy is still available to those who are truly financially distressed. 

Filing Chapter 13 after Chapter 7

There are also cases where a person who filed under Chapter 7 in the past can file for Chapter 13 bankruptcy. As a rule, one can get discharged from Chapter 13 four years after filing for Chapter 7.

This bankruptcy will give you an opportunity to pay back some or all of your debts under a plan accepted by the court. Such a plan lasts between three and five years. It is usually applied if there is a steady flow of income to meet your mortgage and vehicle payments, or tax arrears. 

Filing Chapter 7 after Chapter 13

If you filed for Chapter 13 bankruptcy previously, the wait time to receive a discharge from Chapter 7 bankruptcy will be six years from the date that your Chapter 13 bankruptcy was filed. There are some exceptions that can apply. If, in your Chapter 13 bankruptcy, you paid back either your total debt or a large part of it, you may be able to file for Chapter 7 earlier. 

Since the exceptions can be complicated, you should have your case evaluated by a professional bankruptcy lawyer.

Filing Chapter 13 after Chapter 13

If you’ve obtained a discharge under Chapter 13 in the past, then you are eligible to obtain another Chapter 13 discharge two years after filing your previous Chapter 13. In most cases, the repayment plan under Chapter 13 is normally more than two years long.

Every situation is different

Even though these waiting periods offer some guidance, there are other considerations to be made as far as determining whether you need to file for bankruptcy again. The changes in your income, assets, debts accumulated, past cases, and financial objectives should all come into play when deciding whether filing for bankruptcy would be right for you.

In some cases, it is even possible to file a new bankruptcy petition despite the fact that the waiting period has not yet passed. You might not be able to get a discharge, but filing will allow you to receive some protection from creditors, including the automatic stay and the prohibition on wage garnishment or foreclosure proceedings.

Talk to a Danville, IN, Bankruptcy Attorney Today

Chris Arrington represents the interests of Indiana residents who need to file for bankruptcy. Call our office today to schedule an appointment, and we can begin discussing your next steps right away.