Liquidation
Following recent changes in the bankruptcy law, many people are under the mistaken impression that they can no longer file for bankruptcy. While there is an income eligibility requirement for Chapter 7, exceeding the state median income does not mean you are without options in dealing with your debt.
Generally speaking, if your income is below the state median, you qualify for Chapter 7. If your income exceeds this limit, but you pass a “means test” you may still be eligible to file for Chapter 7 and put an end to most of your debts. If you don’t pass the means test, or most of your debt is credit card debt, Chapter 13 bankruptcy may work for you.
The Chapter 7 bankruptcy process usually takes about six weeks, and I will guide you through all of the necessary steps:
- Gathering all information about your debts and assets
- Filing the bankruptcy petition with bankruptcy court
- Representing you at the first meeting of creditors, where you are questioned about the accuracy of the assets and debts reported
About two months after that meeting, you will receive the order from the court discharging the debt.