Bankruptcies are unavoidable. Consumers and businesses rely on the bankruptcy system in good and bad economic times. Sometimes a bankruptcy is the outcome of an expensive surgery or other medical issues. Sometimes it is the result of a divorce or a failed business. Sometimes it is because you co-signed for someone you trusted, and that person is unable or unwilling to pay on the debt.
What to do if you’ve filed a prior bankruptcy
From time to time we meet with people who filed a prior bankruptcy. Those who have been through the bankruptcy system know that bankruptcy can be frustrating and embarrassing, but also a major source of relief.
There are limits on when people can refile if their past bankruptcy was successful. If a debtor received a discharge in a Chapter 7 case filed less than 8 years ago, they would have to wait until that 8 year time frame is up (measured from the filing date of the previous case to the filing date of their intended next case), or else they would not be able to discharge debts. However, if the prior Chapter 7 bankruptcy was filed over 4 years ago, a Chapter 13 case now is an option. We will ask during an initial meeting if you’ve filed a prior bankruptcy before.
If you filed a case 30, 20, or 10 years ago and a bankruptcy is the best financial option for you or your business, then we’ll advise on how a bankruptcy filing will help you today. Things may have changed a bit over time – bankruptcies today are typically more document intensive, more expensive, and require credit counseling and more detailed schedules – but the basic system hasn’t changed. Our country’s founders wanted a system set up to forgive debts instead of forcing people into debtor’s prisons.
If you are a Kansas or Western Missouri consumer or business operator and need to discuss your financial options, please give us a call to discuss whether bankruptcy is the way to go, even if you’ve filed for bankruptcy relief before.
Need to speak to someone about filing bankruptcy again? Call W M Law right now to schedule your free, no-obligation, consultation with an attorney!