Legal Question in Bankruptcy in Illinois

If you. File chapter 13 and it's discharged because you can't make payments can you file again and when

Asked on 8/26/14, 9:03 am

2 Answers from Attorneys

Terrance Leeders Leeders Law

If it is dismissed for non-payment, you can refile.

In the 2nd case within 12 months of the last dismissal, you'll have to bring a motion to extend the automatic stay protection against your creditors. You only get 30 days protection otherwise. To do this, you'll have to convince the court that you've had a positive change in circumstances, enough to show that this case is more likely to succeed than the last.

if this is the 3rd case in a year, you don't get any automatic stay protection and you have to motion the court to impose the automatic stay.

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Answered on 8/26/14, 9:08 am
Henry Repay Law Offices of Henry Repay

I agree with Attorney Leeders' response.

Be careful in understanding "dismissal" versus "discharge." A "discharge" would be what you would have received if you completed the case. You would be "discharged" from certain debts owed creditors. "Dismissal" is more like your case being thrown out. For creditors it is as if you had not filed.

While it sounds like your case was dismissed based on a trustee or creditor motion, if you voluntarily dismissed the case because you could not pay, then there may be a 180-day period before you can refile.

The scope of this space does not afford an opportunity to assess the situation and advise you. I recommend you assemble for legal consultation: (1) household income information for March 2014 through the present, including wages and unemployment during that period; (2) all your bills and collection notices (copies neatly assembled, back pages included); (3) last two years’ tax returns; (4) a credit report (use to obtain free report if not requested in last year); and (5) other information that may apply, such as copies of lawsuits. Call at your earliest convenience to afford the most opportunity in which to be advised about your best course. You are not required to use an attorney in your area.

I do not recommend filing bankruptcy on your own. There are too many complex issues. I have seen several posts on this site for debtors who filed on their own and are seeking counsel concerning complications. Most of them will have a hard time finding an attorney to get involved to unwind the mess without the attorney charging several times what would originally have been paid.

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Answered on 8/26/14, 9:22 am

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