Those who have previously filed for bankruptcy in South Dakota may inquire about the permissible frequency of subsequent filings. The requisite waiting period is contingent upon the chapter previously filed and the chapter intended for future filing, with the waiting period calculated from the initial filing date to the subsequent filing date, rather than from the prior bankruptcy discharge date. Please continue reading as we explore why you have to wait before wiping out debts in another Chapter 7 or Chapter 13 case, the potential complications that can arise from frequent bankruptcy filings, and the importance of consulting with our determined Rapid City Bankruptcy Lawyers for guidance.
When Can I File Bankruptcy Again in South Dakota?
Individuals filing for Chapter 7 bankruptcy after a previous bankruptcy case must observe a specific waiting period to receive a new debt discharge. This waiting period is contingent upon the type of bankruptcy case previously filed. A discharge, the court order legally absolving one of the responsibility to repay outstanding debts, is measured from the filing date of the preceding case, not the date of discharge.
If the previous bankruptcy case was a Chapter 7, an individual must wait eight years from the filing date of that Chapter case before being eligible for another Chapter 7 discharge. If the previous bankruptcy case was a Chapter 13, the waiting period is shorter, requiring six years from the filing date of the Chapter 13 case before a Chapter 7 can be obtained. However, this waiting period may be waived if all unsecured debts are repaid, or if at least 70% of them are repaid through a good-faith effort within the Chapter 13 plan.
What if My Previous Case Was Dismissed?
If a previous bankruptcy case was dismissed without prejudice, a new petition may be filed immediately. However, if the dismissal resulted from the petitioner’s failure to comply with a court order or appear at a hearing, a 180-day waiting period may be imposed.
While it’s technically possible to file a new bankruptcy case before the expiration of a waiting period, the petitioner will not be eligible for a debt discharge. Some debtors elect this option to avail themselves of the “automatic stay,” which temporarily suspends collection efforts by creditors. Nevertheless, the automatic stay may be limited to 30 days if multiple filings have occurred within the preceding year.
Given the complexity and stringent judicial review of repeat bankruptcy filings in South Dakota, it’s strongly advised that individuals seek counsel from a seasoned bankruptcy attorney to ascertain available recourse. At 605 Bankruptcy, we are prepared to help you navigate your legal options. Connect with our firm today to schedule a consultation.
