BANKRUPTCY CAN GET YOUR DRIVER'S LICENSE REINSTATED

Filing for bankruptcy can be helpful when you can’t afford to pay back your debts and you need a fresh start. However, bankruptcy can also be a useful tool to help you get your driver’s license reinstated.

In the United States, "every state and the District of Columbia have enacted laws allowing or mandating the suspension or revocation of a driver’s license where the driver fails to pay a debt to the state or arising from a state-controlled system." Debts associated with having your driver's license suspended can include, criminal fines, civil fines, unpaid child support, unpaid taxes, parking tickets, tolls, or a variety of other unpaid debts. 

Statue § 20-279.14.

Suspension to continue until judgments satisfied. Such license and nonresident's operating privilege shall remain so suspended and shall not be renewed, nor shall any such license be thereafter issued in the name of such person, including any such person not previously licensed, unless and until every such judgment: (1) Is stayed, or (2) Is satisfied in full, or (3) Is subject to the exemptions stated in G.S. 20-279.13 or G.S. 20-279.16, or (4) Is barred from enforcement by the statute of limitations pursuant to G.S. 1-47, (5) Is discharged in bankruptcy. (1953, c. 1300, s. 14; 1969, c. 186, s. 5; 1975, c. 301.)

If you are in debt, facing a judgments, fines in addition to credit card or medical debts, then you risk losing your drivers license if you fail to pay off the judgment. However, you can seek bankruptcy protection by filing a Chapter 7 or Chapter 13 bankruptcy (depending on your situation), follow your bankruptcy plan and get your discharge (get rid of all said debts). Once the discharge order is granted by the Bankruptcy Court, then you or your attorney can contact the State Department of Transportation and you will need to pay the license renewal or reinstatement fee in order to resume your driving privileges.

If you have or are afraid of losing your license due to the previously mentioned debts, please take a FREE consultation with the Law Offices of John T. Orcutt. It doesn't hurt to ask what your options are.