How Long After Chapter 7 Can You File Chapter 13 in Michigan

Filing for bankruptcy again in Michigan can be a critical step in regaining financial stability. If you are asking, How long after Chapter 7 can you file Chapter 13? In Michigan, you can file Chapter 13 bankruptcy immediately after a Chapter 7 discharge or dismissal. However, to receive a Chapter 13 discharge, you must wait four years from the filing date of your previous Chapter 7 case. Filing Chapter 13 sooner can still protect your assets and stop foreclosure, but the discharge eligibility requires this mandatory waiting period.

If you’re considering bankruptcy, get direct answers for your situation by calling 877-586-1829. We’ve spent 15 years helping 10,000+ individuals navigate bankruptcy while protecting their rights. In this guide, you’ll learn when and how you can file, what to expect, and how to protect your financial future.

What Does Filing Chapter 13 After Chapter 7 Mean

Filing Chapter 13 after Chapter 7 is often called a Chapter 20 bankruptcy strategy. It involves using Chapter 13 after completing a Chapter 7 discharge to manage debts like mortgage arrears or car loans while protecting your assets.

Key terms to know:

• Chapter 7: Liquidates non-exempt assets to pay debts and discharges most unsecured debts. The court may deny a debtor’s discharge in a Chapter 7 case if the debtor fails to complete a required course on personal financial management.
• Chapter 13: Creates a 3–5 year payment plan to catch up on secured debts while keeping property.
• Discharge waiting period: The timeline you must wait before receiving another discharge in a subsequent bankruptcy filing.

Why Filing Chapter 13 After Chapter 7 Matters in Michigan

Many Michigan residents use Chapter 13 after Chapter 7 when:

• They need to catch up on mortgage arrears after wiping out unsecured debt.
• They face car repossession threats and need time to pay off the balance.
• They want to stop foreclosure on their home using the automatic stay.
• They have new debts that emerged after the Chapter 7 discharge.

Filing Chapter 13 after Chapter 7 can help you manage secured debts and protect your home or car without needing to wait years to address urgent financial issues.

How Long After Chapter 7 Can You File Chapter 13 in Michigan

You can file Chapter 13 immediately after receiving a Chapter 7 discharge in Michigan; however, to be eligible for a discharge in your new Chapter 13 case, you must wait four years from the filing date of your previous Chapter 7 case.

Here’s what that means:

• Immediate filing allowed: You can file a Chapter 13 at any point after your Chapter 7 discharge.
• Discharge eligibility: To qualify for a discharge in your Chapter 13 case, you must wait four years from the filing date of your Chapter 7 case.
• Timing considerations: All time periods between bankruptcy discharges start and end on the bankruptcy petition filing date for each case. This ensures clarity in determining eligibility for subsequent filings.

• Immediate filing allowed: You can file a Chapter 13 at any point after your Chapter 7 discharge.
• Discharge eligibility: To qualify for a discharge in your Chapter 13 case, you must wait four years from the filing date of your Chapter 7 case.

You may still benefit from filing Chapter 13 immediately to protect your home or catch up on debts, even if a discharge is not available. However, repeated bankruptcy filings may result in bankruptcy judges limiting automatic stay protections to a shorter duration for serial filers.

Step by Step Guide for Filing Chapter 13 After Chapter 7

1. Review your Chapter 7 discharge date to determine eligibility for a Chapter 13 discharge.
2. Calculate secured debt arrears on your mortgage or car loan.
3. Consult a Michigan bankruptcy attorney to evaluate your income and payment plan feasibility.
4. Complete credit counseling with a court-approved agency before filing.
5. File your Chapter 13 petition with the U.S. Bankruptcy Court for the Eastern or Western District of Michigan.
6. Attend the 341 meeting of creditors after filing.
7. Follow your 3–5 year repayment plan to catch up on secured debts.
8. Complete a debtor education course to qualify for discharge if eligible.
9. Understand re-filing rules: You can refile a Chapter 13 at any time as long as you meet the income requirements and were not previously barred by the court.

Options and Alternatives If You Need to File Again

If you need to file bankruptcy again, consider these options:

• Chapter 13 Immediately: File to stop foreclosure or repossession without waiting, even if you cannot receive a discharge.
• Wait Four Years: Wait to receive a discharge in Chapter 13 while managing debts in the meantime.
• Debt Settlement: For non-secured debts, negotiate directly with creditors.
• Credit Counseling: Explore repayment plans with approved agencies before refiling.

Michigan Specific Considerations When Filing Chapter 13 After Chapter 7

When filing Chapter 13 after Chapter 7 in Michigan, there are several important local factors and legal protections to keep in mind. These unique considerations can impact your bankruptcy case, repayment plan, and overall financial strategy. Understanding these points can help you make informed decisions and work effectively with your bankruptcy attorney.

• Michigan residents benefit from the homestead exemption when filing Chapter 13 to protect home equity.
• Filing Chapter 13 immediately can stop foreclosure under Michigan law, even if no discharge is granted.
• The Eastern and Western District Courts manage Michigan bankruptcy filings; your attorney can help determine the correct jurisdiction.
• Michigan’s cost of living and wage considerations affect your Chapter 13 payment plan feasibility.

Comparing Chapter 7 vs Chapter 13 After Chapter 7

To better understand the key differences and timing considerations when filing Chapter 13 after Chapter 7, the following table outlines important features, eligibility criteria, and discharge waiting periods. This comparison highlights how each chapter functions and what you can expect when pursuing a subsequent bankruptcy filing in Michigan.

• Important note: A valid lien that has not been avoided in bankruptcy will remain after the bankruptcy case.

Can You Use Chapter 13 After Chapter 7 to Catch Up on Mortgage Payments

Yes, you can use Chapter 13 after Chapter 7 to catch up on mortgage arrears, even if you are not eligible for a discharge in the Chapter 13 case. This is often critical for Michigan homeowners facing foreclosure after a Chapter 7 discharge.

Here is how it works:

• After your Chapter 7 discharge, you remain responsible for secured debts if you want to keep the asset.
• If you fall behind on your mortgage after Chapter 7, your lender may initiate foreclosure.
• Filing Chapter 13 immediately stops foreclosure with the automatic stay.
• You can repay missed payments over 3–5 years while maintaining current mortgage payments.
• Even without a discharge, the court can dismiss your case after you complete your plan, restoring you to current status with your lender.

This strategy helps Michigan homeowners maintain stability while preserving the discharge benefits from the prior Chapter 7.

How Filing Chapter 13 After Chapter 7 Impacts Your Credit

Many Michigan residents ask how filing Chapter 13 after Chapter 7 will affect their credit score. While bankruptcy impacts credit, strategic timing can minimize long-term effects.

Key points:

• A Chapter 7 bankruptcy typically stays on your credit report for 10 years from the filing date.
• A Chapter 13 bankruptcy stays for 7 years from the filing date.
• Filing Chapter 13 after Chapter 7 does not restart the 10-year Chapter 7 reporting period.
• Making consistent payments in your Chapter 13 plan can help rebuild your credit while managing debt responsibly.
• Lenders may view Chapter 13 more favorably than additional missed payments or new collections.
• Filing bankruptcy lowers your credit score temporarily.
• Creditors cannot seek recovery of discharged debts after the bankruptcy discharge has been granted, providing relief and a fresh start for debtors.

In many cases, filing Chapter 13 after Chapter 7 allows you to protect your home and recover your credit health over time, rather than facing foreclosure, repossession, or wage garnishments.

When Filing Chapter 13 After Chapter 7 May Not Be the Right Choice

While filing Chapter 13 after Chapter 7 can be an effective tool, it may not fit every situation. Here are times it may not be the best option: Individual bankruptcy filings after previous discharges must be made in good faith to avoid dismissal of the case.

• If your income is insufficient to support plan payments, your case could be dismissed.
• If your primary debts are new unsecured debts post-Chapter 7, you will not receive a discharge in the new Chapter 13 unless four years have passed, making payment plans less effective for these debts.
• If your secured debts are unaffordable, surrendering the collateral may be more practical than a payment plan.
• If you can negotiate directly with creditors or use loan modifications, you may avoid the need to file Chapter 13.
• A bankruptcy judge may bar a re-filing if the judge determines the filer was abusing the system.

• If your income is insufficient to support plan payments, your case could be dismissed.
• If your primary debts are new unsecured debts post-Chapter 7, you will not receive a discharge in the new Chapter 13 unless four years have passed, making payment plans less effective for these debts.
• If your secured debts are unaffordable, surrendering the collateral may be more practical than a payment plan.
• If you can negotiate directly with creditors or use loan modifications, you may avoid the need to file Chapter 13.

Consulting with a Michigan bankruptcy attorney helps you evaluate whether immediate Chapter 13 filing or alternative strategies will better protect your financial goals and assets.

Ready to Protect Your Home and Finances

If you’re considering filing Chapter 13 after Chapter 7 in Michigan, getting clear, professional advice can help protect your assets while managing your debt.

Call 877-969-7482 today for a free consultation to protect your financial future while resolving your debt with Kostopoulos Bankruptcy Law.

Further Reading:

How Soon Can You File Chapter 13 After Chapter 7?

What to Expect After Filing Chapter 7 Bankruptcy

What Are the Common Mistakes to Avoid When Filing for Bankruptcy?

How Long Does it Take to File Bankruptcy?

Resources:

U.S. Bankruptcy Court for the Eastern District of Michigan

Department of Justice Approved Credit Counseling Agencies

Michigan Legislature – Homestead Exemption