Chapter 7 Bankruptcy Phoenix

Chapter 7 Bankruptcy With Attorney

Chapter 7 Bankruptcy – Do You Qualify

Chapter 7 bankruptcy with an attorney is the traditional bankruptcy that most people file.  This is the opportunity to get rid of your unqualified unsecured debts, and keep all of your exempt assets.  It is a really good government program.  However, there are a few qualifications.

Chapter 7 Bankruptcy and Income – Do you make too much money

The main factor to qualifying for chapter 7 bankruptcy is income.  This can be an easy thing to determine.  Income is measured during the last six full months before you file bankruptcy.  Therefore, as an example, if you intend to file in July, start in June and count backwards six months.  The amount of money you made during the six full month period from January to June will be the measuring period for the income.  Be sure to include any income from any source that comes into the household.  If you are married and living together, you are a household.  You will have to count income for both people.

Chapter 7 Bankruptcy and Income – Mean Income

 

Chapter 7 Bankruptcy and Income – The Means Test

What is Chapter 7 Bankruptcy

Chapter 7 bankruptcy is the traditional bankruptcy.  It is where the debtor keeps all of the exempt assets, and gets rid of the dischargeable debt.  There are no repayment plans to the court like Chapter 13 bankruptcy.  This is the bankruptcy that everyone wants to do.  The only catch is that you have to qualify.

Do I Make Too Much Money to Pass the Means Test

If you make too much money, the court will want you to pay some of the money back.  This is determined by your gross income of the six full months prior to filing.  This income is then subjected to what the bankruptcy law calls the Means Test.  The Means Test just takes your income and expenses and determines whether you have money to make payments to the court.  There are two ways to pass the means test.  If you earn less than the mean income in your state, you automatically pass the means test and do not have to

Do I Qualify for Chapter 7 Bankruptcy

 

How Do I File Chapter 7 Bankruptcy

How Do I Pay for Chapter 7 Bankruptcy

This is a common question by people considering Chapter 7 or Chapter 13 bankruptcy.  Usually people wait too long to file bankruptcy.  They deplete their assets in a losing battle to pay their debts.  By the time they decide that they need to file bankruptcy, they do not have enough money or assets to start over.  Because of this, most people do not have the money needed to file Chapter 7 Bankruptcy.

We have the remedy.  We will file your case for no money down.  All you have to do is take the required consumer credit counseling class, and gather some documents.  Once you do that, you get to choose whether you want to come into the office for a filing appointment or do it over the phone.

A filing appointment usually lasts about two hours.  You and your bankruptcy attorney will get together and go over all of your documents.  We will do a fancy credit report and a public records check.  We will work with your petition until we are happy with it.  At the end of the meeting, we will file your petition.

After filing your petition, you can schedule low monthly payments, usually about $200.  The payments do not have to start until a month or so after you file, so you have time to get your feet under you.  We will even pay your filing fee, so you can make monthly payments on that, too.