Chapter 7 Bankruptcy
Find Out If You’re Eligible To File Chapter 7 Bankruptcy Forms
Being in debt is a scary, stressful, and unhappy place. Filing bankruptcy offers consumers a potential way out in even the darkest financial situations, but knowing if you’re eligible to file Chapter 7 Bankruptcy forms can be confusing. Chapter 7 is referred to as a ‘straight’ bankruptcy, as opposed to Chapter 13, which is a repayment plan. Most secured assets and debts, such as mortgages and vehicles, can survive through the filing, whereas most unsecured debts (credit cards, lines of credit, or department store credit cards) are discharged. Some debts, such as student loans, child support, and tax related debts, are not eligible to be discharged through Chapter 7 Bankruptcy forms.
Are You Eligible To Fill Out Chapter 7 Bankruptcy Forms?
Each court district has its own legislation and rules about filing Chapter 7 Bankruptcy forms, including income level thresholds, eligible and ineligible debts, and protected assets. It’s important to fully research and be aware of your particular state’s regulations for the proper completion of the documentation. To find out if you’re eligible to file, debtors must complete a ‘means test’ which is formulated to weed out potential abusers of the system. This test considers the consumers income level and debt totals to determine if a debtor has means other than bankruptcy to satisfy what they owe.
Federal law now requires that within 180 days prior to filing Chapter 7 Bankruptcy Forms, you must complete a course provided by either a credit counseling agency or a nonprofit agency. The course is about teaching financial management, including debt payments, budgeting, and the consequences of bad credit. This is thought to better educate the public about managing credit responsibly, and setting up a budget for a more prosperous future. In order to file Chapter 7 Bankruptcy forms, you may not have filed for the same process within the past 8 years. Lastly, you must also be a resident of the United States (but not necessarily a citizen or legal resident.)
If you’re not sure if you would qualify for completing Chapter 7 Bankruptcy forms, We The People can help. Many of our stores can provide you with a free Means Test to be sure you qualify to file for Chapter 7 Bankruptcy. Our trained staff members can assist you with completing the Means Test, evaluating your situation, offer you trustworthy educational resources, and assist you in preparing the Chapter 7 Bankruptcy forms. Call or visit your local We The People store to find out how we can help you navigate through this difficult journey.