I recently Filed Chapter 13 Bankruptcy: Can I File Again?

You work hard and play by the rules. But unfortunately, life does not always reward you with unending success and prosperity. The unexpected interfere with the best-laid plans. If you lost your job, fell ill, or had to take a loved one in, the strain on your finances may be too much to bear. Strive as you might it is impossible to keep up with the bills and pay down your existing debt. Under these circumstances, it may be in your best interest to declare Chapter 13 bankruptcy. 

If you were without a steady income for a long period of time and only recently started making money again, Chapter 13 may be your best bankruptcy option. If you already have a Chapter 13 on your record, there might be complications in filing again. You should therefore speak to a Brooklyn Chapter 13 bankruptcy attorney. A Brooklyn Chapter 13 bankruptcy lawyer is best placed to answer all your questions and give you the insight you require to get through the process. 

You Are Not Alone 

There is no reason to feel like a failure if you have declared bankruptcy once or twice before. A recent survey indicates that 8% of people who file bankruptcy end up doing so again. Bankruptcy is meant to protect people who have fallen on hard times. It is a way for individuals who cannot keep up with their debt payments to get permanent relief. Filing Chapter 13 is a way to tell your creditors that they will get their money, but that you need a little more time to pay it. Brooklyn Chapter 13 bankruptcy is a financial reorganization plan that will help you meet your obligations over a period of 3 to 5 years. 

You Can File Bankruptcy More Than Once 

There is no limit to the number of times a person can file Chapter 13 bankruptcy. However, the Bankruptcy Code does require a certain amount of time to pass between one filing and another. This is a protection for creditors: it prevents people from serially running up debt and then filing for bankruptcy to get out of their obligations. 

Time Limits 

If you previously filed Chapter 7 bankruptcy, you can file Chapter 13 within 4 years. If you previously filed Chapter 13 and you want to file Chapter 7, the waiting time is 6 years. However, this waiting time can be waived if you paid back 100% of your unsecured debt in the Chapter 13 plan. 

If you previously filed Chapter 13, you must wait 2 more years before filing the same type of bankruptcy again. Rare is the person who can do this, as most Chapter 13 reorganizations last 3 years at a minimum. If you are revisited by hardship while still paying off your debt, you may be able to modify your reorganization plan. You should speak with your Brooklyn bankruptcy attorney to figure out your options. 

Filing for bankruptcy is a big step. But allowing yourself to be slowly suffocated by debt is no way to live. Bankruptcy can give you the space you need to breathe so that you can get your life together and plan a better and more financially healthy future. You cannot control everything that happens to you. If you have fallen on hard times, it is best to acknowledge it and enlist the help of people who can help you manage your way through it. 

A Brooklyn bankruptcy lawyer can help you decide the best type of bankruptcy to file for. If you are on the edge and need expert counsel, insight, and advice, you should speak to a bankruptcy attorney in Brooklyn at Ursulova Law.