Can Filing Bankruptcy Help Get My Driver’s License Back?

Can filing bankruptcy help me get my driver’s license back? Maybe. First, it depends on why your driver’s license has been suspended or revoked. Have you been involved in an automobile accident where you did not have insurance and were ruled at fault?  If so, it is likely the opposing party is trying to collect the expenses incurred on their claim from you either individually or via their insurance company.

How an Unpaid Debt Can Get Your License Suspended

An unpaid debt like this can end up in a suspension of your driver’s license until the debt is paid in full and usually ends up with a civil lawsuit being filed against you for the monetary amount of the claim. Most of the time, the amount of these types of debts are well more than anyone can pay in a timely manner. Besides, if your license is suspended, it is not advisable to drive. This fact alone makes it virtually impossible to earn any funds to pay the debt!

One viable solution is to seek Bankruptcy assistance to either discharge this debt in a chapter 7 bankruptcy or pay it through a chapter 13 bankruptcy debt consolidation. It is important to seek the advice of an experienced bankruptcy attorney who can evaluate your entire financial picture to best advise you on how to proceed. Also, there are some mitigating factors here that may help determine what type of bankruptcy you can file. There are some circumstances, such as being charged with driving under the influence (DUI) or if negligence were involved, where this type of debt may not be dischargeable in a chapter 7 but could be paid in a chapter 13.

If you determine that a chapter 7 or chapter 13 bankruptcy is the proper way to go to resolve this debt and get your license reinstated, relief is immediate! Once your bankruptcy petition is filed with the court, your driver’s license can be reinstated, however, you will still be responsible for any reinstatement fee due to the Department of Public Safety. All you need to provide to the Department of Public Safety is proof of your bankruptcy filing. Most reputable bankruptcy attorneys will provide a letter directly to the department for you.

We certainly promote and advise keeping insurance on your automobile at all times, however, we realize this can sometimes be a financial struggle and you may have an unfortunate accident during a lapse in insurance coverage.

If you find yourself struggling because your driver’s license has been suspended under these circumstances or if you are simply struggling with your monthly finances, please contact our office nearest you and meet with one of our experienced attorneys who can evaluate your situation.