Who's eligible to file bankruptcy?

Who should file bankruptcy?

There are many events which commonly may trigger a client's need to file bankruptcy or curiosity about bankruptcy. Some of the more frequently observed events are: an impending foreclosure, repossession, lawsuit, lien, and wage garnishment, loss of employment, unexpected medical emergencies, and divorce. In these unstable economic times it is very difficult to know what options are realistic with out a through review of your financials.

Some of the terms that are going to make you eligible to file are recent However, a new bankruptcy law - the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 - came into effect on October 17, 2005. Under the new bankruptcy law, you are eligible to file for bankruptcy under Chapter 7 if you earn less than the median income in your state. If you earn more than the median income in your state, then you will only be eligible to file for bankruptcy if you pass a means test to determine whether you are eligible. 

Discharge under Chapter 7 is not available if you filed for bankruptcy and were granted a discharge under Chapter 7 within the past eight years. You should contact my office for a free consultation as to whether you may be eligible and whether it is advisable for you to file bankruptcy.