Automatic Stay

• The automatic stay is one of bankruptcy's most sought after and valuable protections. The automatic stay stops foreclosures, collection calls and lawsuits when you file for bankruptcy. Too many bankruptcies in a given time frame, however, can limit the stay's ability to protect you. If you already filed and dismissed a case once in a given year, the stay will only protect you for 30 days if you file again the same year. If you've already filed and dismissed twice in the same year, the stay won't protect you at all if you file again in that year.
  
  

In Rem Relief

• If you want to use bankruptcy as a means of stopping foreclosure every year, your mortgage lender may be able to stop you by asking the court for "in rem relief." In rem is Latin for "against a thing." In the legal context, the "thing" in question typically is your property. The court can prevent the automatic stay from protecting a particular piece of property for two years following the date of the in rem relief order. The creditor must, however, prove that your multiple bankruptcy filings are "part of a scheme to hinder, delay and defraud" it.
  
  

Discharge

• The bankruptcy discharge is the prize at the end of the bankruptcy process. A discharge is an order issued and signed by a bankruptcy judge. It notifies your creditors that you are no longer personally liable for certain types of debts. If one of your creditors willfully violates this order, you may bring the matter before the court and potentially receive money from the creditor.
  
  

Discharge Restrictions

• There are no restrictions on the number of times you can file for bankruptcy in a given year; however, you can't get a bankruptcy discharge every time you file bankruptcy. If you received a Chapter 7 discharge, you must wait eight years until you can get another Chapter 7 discharge. After a Chapter 13 discharge, you must wait two years to get another Chapter 13 discharge. If you received a Chapter 7 discharge and later want a Chapter 13 discharge, you must wait four years. If you received a Chapter 13 discharge and subsequently want a Chapter 7 discharge, it's a six-year wait.