Many individuals are under the assumption that once they file for bankruptcy all of their debts are going to be the automatically wiped clean. While the majority of debts can be handled in a bankruptcy and certainly bring a monumental amount of debt relief, there are some debts that are not expunged. It will all depend on the type of bankruptcy chapter that you’re entering into and the most common ones are Chapter 7 or Chapter 11. The process and outcome is significantly different between these two chapters.
For those individuals who still end up with debt after filing for bankruptcy, they sometimes find that they are still not able to get back on their financial feet and are contemplating filing for bankruptcy once again. The laws are very stringent on this and for those that have filed for a Chapter 7 bankruptcy they will not be able to file for this chapter again for the next eight years. However, the debtor may be able to apply to the court for a Chapter 13 bankruptcy which is more of a debt repayment plan.
There are some specific rules pertaining to this in regards to the discharge debt. Individuals that are in this situation should really speak to a qualified bankruptcy attorney who can discuss their options with them to see if they are eligible to file for bankruptcy once again, and what their alternatives are. Often individuals find themselves in this situation did not rely on professional help from an attorney for their original bankruptcy and as a result, their bankruptcy may not have brought them all of the relief that was possible. They may not have been aware of what their financial situation was going to be like once their bankruptcy was completed.