How Many Times Can You File for Bankruptcy in Texas?

How many times can you file for bankruptcy? This is a question that many people ask themselves when they are in the midst of financial ruin and looking at their options. The truth is, there isn’t a limit on how often you can file for bankruptcy. If your situation continues to worsen and there doesn’t seem to be an end in sight, then filing for bankruptcy may be one of your best options. In this article, we will discuss how often you can file bankruptcy in Plano, Texas.

What is the Maximum Number of Bankruptcies You Can File in Texas

Generally speaking, you can file for bankruptcy as many times as needed. However, there are limitations on the number of bankruptcies you can file without receiving a court order to allow more filings. Also, you may file but not receive a debt discharge in some circumstances, so proceed with caution.

How Long Do I Have to Wait between Filings for Bankruptcy?

This is a question that we get asked quite often. It’s essential to understand the answer because it can be confusing and because the timing may determine your eligibility for the type of bankruptcy you want. There are certain waiting periods between types of filings, and this varies by chapter.

The time constraints are determined by the United States Bankruptcy Code and the chapter under which you file. It begins on the day you filed your previous bankruptcy petition, not the date of discharge or stay. Only bankruptcies in which your debts have been discharged are subject to these time constraints.

Chapter 7 to another Chapter 7 bankruptcy

If you’ve previously used Chapter 7 bankruptcy to discharge debts, you must wait eight years to file another Chapter 7 case. If you’re in debt again, it doesn’t mean you’re out of options.

Chapter 7 now filing for Chapter 13 bankruptcy

If you’ve already filed for Chapter 7 and want to file for Chapter 13 bankruptcy, you must wait four years between cases, and there is no exception if your case was dismissed or closed without receiving a discharge order (debt forgiveness).

As long as your financial situation stays in dire straits, it may be possible to file again but only at set intervals depending on which chapter of bankruptcy you choose. Nevertheless, filing more than once does not mean that all debts will go away forever with just one filing – so proceed with caution!

Chapter 13 to another Chapter 13 bankruptcy

Filing multiple cases under either chapter may be possible too, but there are consequences and restrictions: In most situations, someone cannot file two cases back-to-back (a new petition filed after dismissal or closure of another bankruptcy) without receiving permission from their local U.S. Federal Court before doing so. Also, only if all your creditors accept your repayment plan can you file successive Chapter 13 petitions, which must occur at least two years apart – otherwise, it’s considered abusive, and the court might not allow you to proceed under Chapter 13 bankruptcy.

Chapter 13 now filing for Chapter 7 bankruptcy

Before you can file another Chapter 7, you must wait six years or make complete payment on your Chapter 13 repayment plan. If there are exceptional circumstances, the court may waive the time constraints.

Chapter 11 Bankruptcy

Filing for Chapter 11 bankruptcy is another option that many debtors choose when attempting to reorganize their financial situation. However, you cannot file more than once every six years without the permission of the Federal Court.

There is no limit on how many times you can file for bankruptcy, as long as it’s done within a specific timeframe and with permission from your local federal court. If particular circumstances exist or multiple filings without permission, this could be considered abusive, and the courts will not permit such actions – so consult a bankruptcy lawyer first!

How Long Will Bankruptcy Last?

Bankruptcies can last between three and five years or ten years, depending on filing under Chapter 13 or Chapter 7. If you are in a position where bankruptcy might be an appropriate solution to your debts, then it’s best to speak with a qualified bankruptcy attorney who specializes in this area of law so they can help answer any other questions that you might have related to how often someone can declare bankruptcy before there are no options left but the liquidation of assets by court order. 

Advantages of Filing for Bankruptcy in Texas

If you have accumulated too much debt and cannot pay your creditors, it may be time to consider bankruptcy as an option. There are many benefits of filing for bankruptcy in Texas. Some of the benefits are:

• Your credit score may increase.
• You can eliminate or reduce your debts and get a fresh start on managing your finances.
• Your stress level will decrease as you are no longer worried about paying off debt that continues to accumulate interest charges.
• Many creditors cannot take any further action against you once bankruptcy has been filed, for example garnishing wages/bank accounts, adding late fees, etc. This means they must leave you alone.
• Your creditors may stop calling you or sending letters.
• You can get rid of any second mortgages, home equity loans, and liens against your house that were not included in the original bankruptcy filing. If you bought a new car after filing for bankruptcy protection, the chances are good that it will be gone too if there is still a lien on it from an old loan or credit card debt.

These are just some of the advantages of filing for bankruptcy in Texas. If you are considering bankruptcy, please make sure to do your research and consult with an experienced attorney for advice before filing.

Filling out the required paperwork can be complicated for someone who has never done it before without help from a qualified attorney.

Disadvantages with Repeated Bankruptcy Filings

Repeated bankruptcy filings are frowned upon by the court, creditors, and other people who get to see your credit reports. Your repeated attempts at filing for bankruptcy will likely increase the time you spend in debt because it becomes more challenging to file with each attempt made. Here are the several disadvantages to repeated bankruptcy filings:

• The primary disadvantage is that you will end up with a bad credit score, making it difficult for you to get approved for loans or other types of financing.
• You also need to pay more lawyer fees every time you file since the creditors and your debtors know what’s going on.
• Another disadvantage of filing repeatedly is that there may come some point when certain people lose their patience with this type of behavior (e.g., lenders) and start taking actions against you like lawsuits, wage garnishments, tax liens, etc.
• If you keep filing for bankruptcy over and over again, then the court may not approve your case anymore because it’s too much of a red flag that you can’t pay back what you owe. 
• Repeated bankruptcy filings could lead to criminal charges filed against debtors by federal authorities under certain circumstances (e.g., fraudulent intent). The laws vary from state to state, but some jurisdictions make multiple bankruptcies a crime within a certain period of time.

In the end, repeated bankruptcy filings can be an expensive mistake since you will have to pay more in attorney fees every single time, and there’s no guarantee that your case will get approved by the court.

Consult a Bankruptcy Lawyer about Your Options

If you feel like your financial situation doesn’t look good and bankruptcy is the best option for getting rid of debt, make sure to consult a bankruptcy lawyer first.

In some cases, it makes more sense to try out one or more other options before filing for bankruptcy (e.g., credit counseling, consolidating debts into a single loan). A qualified attorney can help you figure out which approach will work better in terms of helping you improve your finances without having negative consequences on your credit score and future opportunities.

DeMarco Mitchell, PLLC is a bankruptcy law firm in Plano, Texas, that has been helping people get back on their feet for decades. We understand the stress and anxiety of filing for bankruptcy, so our goal is to make this process as easy and painless as possible for you. Our lawyers will work closely with you every step of the way to ensure your rights are protected and your future secured.

You don’t have to go through this alone – let us guide you through the process from start to finish! Call today at (972) 578-1400 or visit our website. Let us put an end to your financial worries once and for all!