How to Know If You Qualify For Bankruptcy
Determining when and if you should file for bankruptcy is often a difficult and tricky question to answer. Whether bankruptcy is the right solution to your financial problems depends on the type of debts you have, how much property you need to protect, and your personal situation. While it is best to consult a professional before making any significant decisions about your debt, here are 3 ways to determine when to file and if you qualify for bankruptcy:
Alternatives. Because declaring for bankruptcy has long-term effects on your finances for many years, it is important that you carefully weigh all of your options before filing. Your bankruptcy attorney can help determine if there are alternatives you can explore. This can include negotiating with your creditors and exploring federal and state debt collection laws to stop creditors from harassing you.
Eligibility. In order to file for bankruptcy, there are certain requirements that you must meet. For example, Chapter 7 bankruptcy is only available to those whose income is less than the median of their state, or those who can pass the means test. The bankruptcy means test can determine if you should discharge your debt completely through Chapter 7 or be required to pay part of your debt through Chapter 13.
Types of Debt. Filing for bankruptcy can help make debt more manageable and even help eliminate some of it. However, there are certain types of debts that will remain, regardless of whether you intend on filing for Chapter 7 or Chapter 13 bankruptcy. This includes tax debts, child support and alimony. When you should file for bankruptcy depends on whether you will benefit from it.
As experienced attorneys, we do more than simply help you determine whether or not you should file for bankruptcy – we make sure your property is protected, all of your dischargeable debts are discharged, and your creditors do not violate your rights. That’s because at The Metka Law Firm, our focus is to help you attain the financial freedom you deserve. Our attorneys will guide you through the complex and confusing process of declaring for bankruptcy in order to get your financial life back on track. To learn how we can help you lessen and even eliminate your debt, call us or schedule your free initial consultation today.