QUESTION
How long do I need to wait before filing a chapter 7 bankruptcy?
Asked on Nov 26th, 2016 on Bankruptcy - Colorado
More details to this question:
I have some debt that was incurred in the last 12 months. The most recent was August. Debt incurred in hopes I would be able to control my debt but all I did was get further in debt.
7 ANSWERS
Commercial & Bankruptcy Law Attorney serving Powell, OH
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Ronald K. Nims
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There is no waiting period between incurring a debt and filing bankruptcy as long as the debt was incurred in good faith. For example, if you borrowed $10,000 to buy row 1 tickets to the Super Bowl and filed bankruptcy the next week, it's obvious you never intended to pay off this loan, so it wasn't in good faith.
Answered on Jan 16th, 2017 at 3:25 AM
Consumer Bankruptcy Attorney serving Los Angeles, CA
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Orantes Law Firm
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If you haven't filed for bankruptcy relief before, you can file at any time. You determine the timing of your filing, ideally after consulting an expert regarding whether you qualify for Chapter 7 or 13 (or 11 or 12 in some cases) and other pros and cons. Most people want to file as soon as possible to start rebuilding their financial life and credit rating as soon as possible since the credit rating does not usually start improving until after you at least file your petition.
Answered on Jan 09th, 2017 at 4:55 PM
Just having made new debt will not prevent you from filing a bankruptcy. A better issue would be how much any single transaction was and what the debt was for. For example, $1,000 at the pharmacy or $1,000 for a hotel stay.
Answered on Jan 09th, 2017 at 11:39 AM
Bankruptcy Attorney serving Madison, WI
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Richard B. Jacobson & Associates, LLC
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There is no set time you must wait after incurring a debt before you can file a bankruptcy petition. EXCEPT that you cannot discharge a debt incurred within 70 day before filing your petition if it is for a cash advance greater than about $875.00; or a credit purchase of 'luxury goods' costing more than $600.00 within 90 days before filing. Apart from those time periods, the important question is whether you incurred the debt with the intention of discharging it in bankruptcy. If you did, it is fraud and the debts could be excluded from the discharge. Get a skilled BR lawyer; it's almost always worth it.
Answered on Jan 09th, 2017 at 11:39 AM
No need to wait any longer!
Answered on Jan 09th, 2017 at 11:39 AM
There is no magic waiting period. However, there is a "slippery slope" with these matters. My suggestion is you meet with an attorney face to face to ask your questions. I don't want to hazard a guess here. Good luck my friend!
Answered on Jan 09th, 2017 at 11:38 AM