DO I NEED TO QUALIFY FOR A CHAPTER 7 OR 13 BANKRUPTCY?

Ever since the new regulations took effect in 2005, many people are worried that they no longer qualify for a Chapter 7 bankruptcy. However, over, 90% of the people who qualified for a Chapter 7 bankruptcy prior to 2005, would still qualify today. The major obstacle in a Chapter 7 bankruptcy is the means test. The means test was designed to ensure that only people under a certain income level could file for Chapter 7 bankruptcy. Generally, a single individual living alone must make under $47,000 a year in order to qualify, however that figure is constantly changing so consult a bankruptcy attorney today for an exact amount. If you have additional people living in your house such as a spouse or children, then the income level will rise with each additional person. If you are over the income amount, this does not necessarily mean you cannot file a Chapter 7 bankruptcy as there are still ways to qualify.
In order to qualify for a Chapter 13 bankruptcy, you muct have regular income and secured and unsecured debts under specific amounts. Without regular income, an individual would have no money to repay the creditor, thus defeating the purpose of a Chapter 13 bankruptcy. Contact our experienced bankruptcy attorneys today for a free consultation.