do I qualify for bankruptcyWhen people ask “ Do I qualify for bankruptcy ”, they really want to know if they can file for bankruptcy successfully. They often believe that they must have a specific amount of debt in order to qualify. However, this is not necessarily the case. The first thing an individual should do is determine why they think they should file at all. Do you have a lot of credit card debt, or are you behind or mortgage and car payments? Only after you have figured out why you are considering bankruptcy can you continue with the process.

The Type of Bankruptcy You Can File

If you want to eliminate your debt, you should find out if you can file Chapter 7 bankruptcy. The main reason why many people want to file Chapter 7 is because this type of bankruptcy will allow many of their debts to be discharged. When the courts discharge your debts, the bankruptcy court gives a court order that will relieve you of being liable for many debts. The courts mostly discharge unsecured debts such as credit card bills and medical bills.

Do I Qualify for Bankruptcy? The Means Test

When asking yourself “ Do I qualify for bankruptcy ”, you should first determine if you are able to pass the means test. A means test for Chapter 7 bankruptcy will deduct your monthly expenses from the income you receive monthly. The court may even consider the income of other adults who are in your household. The deduction will determine how much disposable income you have every month. If your monthly disposable income is lower than the median income in your state, you may qualify to file Chapter 7 bankruptcy.

If You Are Eligible To File

Once you decide you are eligible to file for Chapter 7 bankruptcy, it is best to seek the services of an experienced bankruptcy attorney. The attorney can help you with the petition you need to present to the court. In addition, bankruptcy attorneys help their clients with short term and long term financial goals after the courts discharge their bankruptcy.

Individuals who want to know “ Do I qualify for bankruptcy ” can retain the services of a legal team that will help your case move quicker so you can become free from debt sooner. You can then begin the journey to financial recovery.

Do you have any questions about your current debt/financial situation? These questions can be directed to the experienced attorneys at Douglas Jacobson Law Firm. Contact our team today to schedule a free consultation with one of our friendly representatives.