How Long Do You Have To Wait Between Chapter 7 Bankruptcies?
Filing for Chapter 7 bankruptcy can be a stressful and daunting experience. You may feel like you have nowhere to turn for assistance. Or worse, you may feel as though you have failed irrevocably.
These feelings are common and understandable, but it’s not the case at all. In many situations, filing for Chapter 7 bankruptcy is the best decision overall.
While filing for Chapter 7 bankruptcy can be difficult, there are ways of making the process easier for you. Contacting a legal professional is crucial for your mental and financial well-being. That is why there are attorneys to help guide you through the process.
Contact a Chapter 7 bankruptcy attorney in Baltimore Maryland, Kim Parker P.A., to figure out how to proceed and how to protect yourself.
What is Chapter 7 Bankruptcy?
Chapter 7 bankruptcy is a quicker way of taking care of mountains of debt that you are not readily able to pay off. Filing for Chapter 7 will allow you to settle debts without taking on the arduous task of paying back thousands of dollars.
Many people turn to Chapter 7 because of the expedited process and the pressure it can take them off. With Chapter 7, the money owed is cut down significantly, making it a much cheaper option.
Filing Chapter 7 Bankruptcy in Maryland
In Maryland, liquidation is part of the bankruptcy process. If you own certain luxury properties or items that are considered luxury items, you may end up losing those items. However, that is only in extreme cases where the filer suffers a harder downfall than the typical financial woes that plague the average citizen.
Filing can be a simple process. However, you must follow some rules and regulations, and certain criteria must be present:
- Your income-to-living-expenses ratio is one-sided in favor of said expenses
- Your reports do not have non-dischargeable debts (or student loans, personal injury, fines, restitution, etc.)
How Long Do You Have to Wait in a Chapter 7 Bankruptcy?
Many do not realize how common bankruptcies are in everyday life. They are not failures but simply legal tools to help you financially. The number of times you file for bankruptcy can depend on how much of your debt was satisfied by the first Chapter 7 filing.
Typically, the waiting between a Chapter 7 bankruptcy is 8 years or more. Coincidentally, this is similar to how long it takes for negative marks and defunct accounts on your credit report to be removed, which is 7 years.
Chapter 7 Bankruptcy: Pros & Cons
The pros of filing for Chapter 7 bankruptcy are as follows:
- Your debt is settled without thousands upon thousands in repayment costs.
- It is similar to starting with a clean slate.
- You will have a substantial amount of your financial burdens lifted.
- Certain properties and other real estate may stay in your possession.
- Once the bankruptcy is removed, you will see a 50- to 150- point increase in your credit score.
The cons are as follows:
- If you own high-priced items, they may be liquidated.
- You may have your tax refund denied
- You may be denied for all credit cards (which can double as a pro if you consider that credit cards can easily lead to more heaps of debt).
Legal Help from a Bankruptcy Attorney in Baltimore, MD
Acquiring the services of a bankruptcy attorney can do wonders for your case. A bankruptcy attorney is perfect for helping you navigate the waters and determine how to proceed. They can also tell you more information about filing for Chapter 7 after a previous filing. No matter how hopeless you may feel, know that you can fix this situation with the correct assistance. The Law Office of Kim Parker P.A. is here to help you with everything you need to know about a Maryland bankruptcy. Make sure to call or message us ASAP so that you can get started with the bankruptcy process.