Can I File for Chapter 13 If My Chapter 7 Has Been Discharged?
If you have received a bankruptcy discharge, you will not be able to file that kind of bankruptcy again for several years. For instance, if you received a Chapter 7 discharge in Kansas or Missouri, you have to wait eight years before you can file another Chapter 7 case. The eight-year period begins when you first file the case, not when it is discharged.
However, you are allowed to file a Chapter 13 any time after filing a Chapter 7. When you file your case, you and your attorney determine a reasonable amount of money that you can pay back to your creditors over a three- to five-year period. There are a couple of things to note in this scenario:
- If you file Chapter 13 within four years of filing a Chapter 7, you will not be able to discharge your remaining debts after the three- to five-year period. You can file Chapter 13 to protect yourself from repossessions or foreclosure, to keep creditors from suing you, keep your wages from being garnished, or keep levies off your bank account. This gives you a chance to reorganize your remaining debt and hopefully you will be in a better financial position at the end of the period.
- If it has been at least four years since your Chapter 7 case was discharged, you can file Chapter 13 and have a very low monthly payment plan. After you complete the three- to five-year repayment period, you will be able to fully discharge all your remaining debts.
Bankruptcy can be stressful, and you need an experienced Kansas City bankruptcy lawyer on your side. Call us today at 816-842-6200 to schedule your free consultation with an attorney. Or you can email us any time.