Who can file bankruptcy?
Almost all individuals can file under either Chapter 7 or Chapter 13. Generally, you can eliminate unsecured debt under Chapter 7, but you must continue payments on your secured debts, such as your house and car, and you must cure any past due payments. You can reorganize your debts under Chapter 13 by submitting a Plan that requires you to make a monthly payment to a Trustee, who than pays your creditors. There are different income and financial requirements under each chapter – for example, Chapter 13 requires that you have monthly income, while Chapter 7 does not, and to qualify for Chapter 7, you must meet certain income, monthly expense, asset and debt limits. John V. Burger and his staff at the Burger Law Firm can evaluate your circumstances and help you make the correct decision regarding bankruptcy.
Any person who resides in, does business in, or has property in this country can file bankruptcy. It is not necessary that your debts be greater than your assets to file, although as a practical matter, it is seldom wise to do so unless your debts are greater than your assets. • WHAT IS THE ORIGIN OF BANKRUPTCY LAW? The Bankruptcy Code has its beginnings in the Bible. See Deuteronomy, Chapter 15, verses1-5. It is now federal law. • CAN BOTH HUSBAND AND WIFE FILE A JOINT BANKRUPTCY PETITION? Yes. Under the bankruptcy laws, a husband and wife may file a joint bankruptcy petition, using the same set of forms. Only one filing fee is paid for a join petition, so it costs no more to file a joint petition than to file a single petition. • WHEN SHOULD I FILE BANKRUPTCY? The answer depends on the status of your debts and the nature of your assets. It is not wise to file bankruptcy if you are likely to incur sizeable new debts in the near future. For example, if you or a member of your family ar
Any person residing, domiciled, or having property or a place of business in the United States may file Chapter 7. A business may also file a Chapter 7. The new bankruptcy law includes a “means test” which applies an income vs. expense test in order to file Chapter 7 bankruptcy. There are currently no minimum or maximum income limits or other income requirements or limitations for people whose unsecured debts are primarily non-consumer debts such as investment liability, business losses, taxes, or student loans.
