Filing For Chapter 7 Bankruptcy

The Chapter 7 Bankruptcy Process

A typical Chapter 7 bankruptcy case is relatively straightforward. You will spend most of your time completing the bankruptcy petition, schedules, and other forms, which will require you to list your debts, assets, financial transactions, and so on. Once you've filed your paperwork, the bankruptcy trustee takes over your case.

What Is Current Monthly Income for the Means Test?

Congress created the “means test” to determine if you qualify to file for Chapter 7 bankruptcy. Whether you qualify for Chapter 7 depends largely on what the means test calculates as your “current monthly income.”

Bankruptcy Chapter 7 Means Test

If you want to file for Chapter 7 bankruptcy, you must pass the means test. The means test looks at your income, and perhaps your expenses and debts, to determine whether you could afford to pay back at least some of your debts. If so, you might not you won't be allowed to use Chapter 7; instead, you could will have to use Chapter 13 if you want to file for bankruptcy.

What to Do If You Fail the Chapter 7 Bankruptcy Means Test

In order to qualify for Chapter 7 bankruptcy relief, you must pass something called the means test. The means test looks at your income and expenses to determine if you can repay a certain portion of your unsecured debts to your creditors. If you can, then you don't qualify for Chapter 7 bankruptcy.

Can I File for Chapter 7 Bankruptcy If I Am Unemployed?

There is no bar to filing for bankruptcy if you are unemployed. Like all Chapter 7 bankruptcy filers, you'll have to pass the means test in order to file for Chapter 7. The lower your income, the easier it is to pass.

What Is Current Monthly Income for the Means Test?

Congress created the “means test” to determine if you qualify to file for Chapter 7 bankruptcy. Whether you qualify for Chapter 7 depends largely on what the means test calculates as your “current monthly income.”

Can I File for Chapter 7 Bankruptcy If I Live With My Parents

If you file for Chapter 7 bankruptcy while living with your parents, you might have to include their income and expenses in your paperwork.

Should I File for Chapter 7 Bankruptcy If I Recently Purchased an Expensive New Car?

Everyone would like to sail through bankruptcy without any problems—but that might not happen if you file Chapter 7 bankruptcy soon after buying a new expensive car.

Will My Debt Get Discharged If I Forget To List it in My Chapter 7 Bankruptcy?

I have a question. I forgot to list a debt on my Chapter 7 bankruptcy petition and schedules and I'm worried about what will happen. Will my Chapter 7 discharge wipe out the unlisted debt or will I still owe it? The answer will depend on whether the Chapter 7 bankruptcy trustee distributes money to your creditors and the court's discharge rules where you file your Chapter 7 bankruptcy case.

Can I File for Chapter 7 Bankruptcy If I Am Unemployed?

There is no bar to filing for bankruptcy if you are unemployed. Like all Chapter 7 bankruptcy filers, you'll have to pass the means test in order to file for Chapter 7. The lower your income, the easier it is to pass.