How Does the Chapter 7 Means Test Work?

If you are in financial trouble, and considering filing for Chapter 7 bankruptcy protection, you probably have questions about how the Chapter 7 means test works. This test evaluates your current monthly income against your debts, as well as all other assets and liabilities. The test was an added requirement for filing Chapter 7, so that only people who are really in financial trouble can file for this form of bankruptcy. Chapter 7 bankruptcy is for those who really do not have any "means" to repay their debts. If you are struggling with debt that is impossible to pay, it is very likely that you will qualify for Chapter 7. The means test measures your current income and bills against a state "median." If your disposable income is below a certain level, you will be eligible.

At our firm, we have found that a large percentage of our clients qualify to file Chapter 7, and gain all the advantages that this form of bankruptcy provides. The federal bankruptcy laws give debtors a chance to start over, free from many types of unsecured consumer debt. Once your bankruptcy is completed, you will no longer owe credit card debt, medical bills, personal loans, and many other types of debts. In many cases, this will allow you to have enough money to pay your basic bills and end the stress and anxiety that comes with endless creditor calls and letters. If your wages are being garnished, this will stop immediately, and you will have access to your whole paycheck again.

It can be a little complicated to complete the means test, as you will have to provide accurate information about all of your debts, down to the last cent. All submissions are required to be accurate, and at our firm, we help our clients get this initial part of the process completed correctly. The accuracy with which the test is completed, and any and all submissions to the bankruptcy court must be correct. If you are in serious financial trouble, we urge you to contact us so we can walk you through the process, and make sure that everything submitted is accurate, so that your bankruptcy filing moves through the system without delays or problems. If you need to file an emergency bankruptcy, we can help you with that, and get an immediate filing submitted. We are ready to help you get a fresh start. Call the Bronson Law Offices, P.A. in Queens for more information and personal assistance from a trusted lawyer for the means test and all other bankruptcy requirements.