Eligibility for Chapter 7 Bankruptcy
Chapter 7 Bankruptcy Information Provided by our Lawyer
Due to the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005, changes have been made to bankruptcy laws that make it harder to file for Chapter 7 bankruptcy. Are you qualified to file for this type of bankruptcy? Talking to a Chapter 7 bankruptcy lawyer at the Law Firm of Kevin D. Judd can help determine your eligibility in Maryland or Washington DC. We offer a free, initial phone consultation.
Can I File for Chapter 7 Bankruptcy in Washington DC or Maryland?
There were recent changes to various state laws. As a result, some debtors with higher incomes cannot file Chapter 7 bankruptcy. To determine your eligibility, you must first measure your monthly income with the median income of similar-sized households in your state. If it is higher than the median, then you must pass “the bankruptcy means test” (see below).
What is the Bankruptcy Means Test?
“The bankruptcy means test” examines your income and helps you decide if you would be able to afford a payment plan that is usually agreed upon with Chapter 13 bankruptcy. You must also subtract particular debt payments and allowances before coming to a conclusion. If, after subtracting that money, you are still not able to pay through a payment plan, you may file for Chapter 7 bankruptcy.
Free Consultation to Discuss Chapter 7 Eligibility in Washington DC or Maryland
Qualified attorney Kevin D. Judd can answer any questions you have about Chapter 7 eligibility. Our lawyer can provide you with Chapter 7 bankruptcy information during a free, initial phone consultation, which can help you decide what to do next. Our law firm is here for you and your family.