Chapter 7 Means Assessment
Many Americans face tremendous financial difficulties every day. Increasing debts, due to interest, changed life circumstances, or other factors can make it a challenge to keep up with even basic financial necessities. In a time when layoffs are common and high paying jobs are difficult to come by, making those monthly payments can feel like an impossible task. For some, filing for bankruptcy can offer relief and the opportunity to get their finances back under control.
Chapter 7 bankruptcy protection is the right option for some debtors, but there are filing requirements intended to prevent abuse of the system. To learn more about the bankruptcy process and how it can help you during this difficult time, contact the West Palm Beach bankruptcy attorneys of Eric N. Klein & Associates, P.A., at 561-353-2800 today.
Limits Under Chapter 7 Bankruptcy
Under Chapter 7 bankruptcy, debtors who successfully file can have some or all of their debts discharged. This means that those debts will be considered forgiven and permanently uncollectable. Qualifying for Chapter 7 requires that a debtor demonstrate that there is a true inability to make significant payments toward existing debts. This is determined through the evaluation of:
- The size and nature of one’s debts
- A debtor’s assets and incomes
- Expendable income after necessities are paid
- The amount of expendable income compared to the state’s median income
These factors could dictate whether you can file for Chapter 7 or if Chapter 13 bankruptcy is a more appropriate option. It is best to speak with an attorney before you begin filing so that you do not inadvertently derail a successful bankruptcy case.
Contact Us
If you or a loved one is thinking about filing for bankruptcy, contact the local West Palm Beach bankruptcy attorneys of Eric N. Klein & Associates, P.A., at 561-353-2800. The sooner you call, the sooner our skilled legal team can get to work for you.
