Wednesday, April 3, 2019

Bankruptcy: Do I Qualify?


Qualifying for bankruptcy is not as complicated as one may think.  In order to know whether a person qualifies or not, the attorney will gather a client’s information, such as bank statements, pay stubs, and bills, then use the information gathered to calculate a Means Test.  If you pass the test, then you qualify for bankruptcy. 
So what does the Means Test entail?  For a Chapter 7 Bankruptcy, the means test compares a client’s average income for a six-month period preceding your bankruptcy against the average income of a similar household in your state.  If your income is below the median, you qualify for a Chapter 7 Bankruptcy. 

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