How Many Times Can I File a Chapter 13 Bankruptcy?
- Under bankruptcy law, you can't make a new Chapter 13 filing within two years after a court has closed your last bankruptcy case, called a discharge. If you previously filed a Chapter 7, Chapter 11 or Chapter 12 bankruptcy, you cannot file Chapter 13 within four years of the discharge.
- Chapter 7 bankruptcy, another option for personal debt, absolves you of all your debt except for a few exemptions such as student loans, your home mortgage and certain taxes. You also will be forced to liquidate assets, but some things are exempt based on your state's laws. If your monthly income for the past six months before filing for bankruptcy is less than the median income of your state, you may qualify for Chapter 7. If you are above that or if you have extra disposable income that you can use to repay debt, you may be forced into Chapter 13.
- Generally, you can only receive a hardship discharge if your failure to complete the payments is due to circumstances beyond your control and through no fault to you; creditors have received as much as they would have received if you filed Chapter 7; and modification of the payment plan is not possible. The hardship discharge is often available in cases involving an injury or illness that precludes you from getting employment sufficient enough to make payments.