Despite your best financial conduct, debt can come back to haunt you after a successful bankruptcy. A sudden medical emergency or damage from a natural disaster might drain your income and any funds you’ve managed to save.
Since you have already completed a chapter 7 or 13 bankruptcy, you may think you have no options. Fortunately, you can seek debt relief through bankruptcy more than once.
How many times can you file?
The law imposes no limit on the number of times you can seek bankruptcy protection. However, the rules say you must wait a specific time period between filings.
- You must wait eight years between two chapter 7 bankruptcies
- You must wait two years between two chapter 13 bankruptcies
- You must wait four years between a chapter 7 and a chapter 13 bankruptcy
- You must wait six years between a chapter 13 and a chapter 7 bankruptcy
If you pay off your chapter 13 repayment plan, you can skip the six-year waiting period to file a chapter 7 bankruptcy. The time limits start on the day you filed your prior bankruptcy, not the day it ended.
Are there benefits to filing multiple bankruptcies?
Multiple filings may wreak havoc on your credit score, but they can give you more time to address debt.
Say that you discharged most of your debt through chapter 7, but you still struggle with non-dischargeable financial obligations like child support. A subsequent chapter 13 filing allows you to address debt ineligible for chapter 7 through a manageable repayment plan.
As you can see, bankruptcy is a legal tool you can use in several ways to help you overcome crippling debt. Learn more about Florida bankruptcy regulations to ensure you use this tool as wisely as possible.