1 An example of a deficit is when you owe $100 and only have $90.  An example of a deficit is when a child in 9th grade reads at a 4th grade level.
Generally, there is no limit to the number of personal bankruptcies a person may file, but there is a required period of time a person must wait between bankruptcy discharges. 1  A person must wait eight years between two Chapter 7 bankruptcies.  A filer may only wait two years between two Chapter 13 bankruptcies.
Chapter 7 bankruptcy, which is typically used by people in debt who have limited income, usually takes between four and six months. First, filers give the bankruptcy court a detailed petition that lists, among other things, their debts, their assets, and the names of their creditors.