How many times can an owner file bankruptcy?
There is no specific limit to the number of times an owner may file bankruptcy. Under the new bankruptcy laws (see above), however, a debtor who receives a discharge in a Chapter 7 bankruptcy must wait another 8 years (extended from 6 years) before he or she may receive a discharge in another Chapter 7 bankruptcy. For debtors who received a discharge in a Chapter 13, the new law requires a 2 year waiting period before the debtor may re-file for bankruptcy. There is a 3 year waiting period for re-filing for debtors who receive a discharge in a Chapter 7 bankruptcy. We often see debtors make repeated bankruptcy filings, typically immediately preceding a scheduled foreclosure sale. Many times these debtors have no intention of carrying out the terms of their bankruptcy obligations. Invariably, a debtor’s bankruptcy is dismissed, which allows creditors to restart collection action. Under the new bankruptcy laws, the automatic stay terminates 30 days after the bankruptcy is filed if the deb
