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Bankruptcy can help get your Suspended Driver’s License Reinstated

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Generally, after having an accident while carrying no auto insurance, the other party will obtain a monetary judgment against you, and can suspend your driver’s license until you pay it.  If you file bankruptcy, you will generally be able to get your license reinstated by the DMV. The debt that you owe will either be repaid through your Chapter 13, or discharged through your Chapter 7. However, if the accident resulted from malicious injury or DUI, the debt must be satisfied through a Chapter 13 repayment plan. As long as you make payments according to your Chapter 13, you can get your license reinstated. If your case gets dismissed, your license will be suspended again by the DMV.