Who Can File for Bankruptcy?
Chicago Bankruptcy Attorney - 26 Years of Experience Helping Debtors
Are you wondering if you qualify to file for
bankruptcy? At Smith Ortiz, P.C., our Chicago bankruptcy lawyers can help you get
these important questions answered, and we have two locations to serve
you. There are restrictions on who can file for bankruptcy, but if you
are struggling to stay above water, do not have enough money to pay for
the basic needs in life, and have crushing debts, it is likely you will
qualify to file for
Chapter 7, and if not, you can file
Chapter 13 in most cases. Those who have the right to file for Chapter 7 bankruptcy
protection include the following:
Your Financial Situation: Full Disclosure in Filing for Bankruptcy
The process involves a full disclosure of your financial situation. This
is accomplished through the means test, a legal requirement for filing
for bankruptcy protection. Under current law, you are required to disclose
every detail of your financial situation, including all of your assets,
debts, and income from any source. At
Smith Ortiz, P.C., we assist our clients with the means test, as it is of ultimate importance
that all data is accurate when you submit it to the court. Never transfer
property to another party before filing for bankruptcy, as the court is
likely to view this action as an attempt to defraud, or essentially cheat
your creditors out of payments, and could get you in legal trouble or
at least lead to a denial of your petition.
Those who do not qualify for
Chapter 7 can file
Chapter 13. Chapter 13 is for those who are earning a steady income, either from
employment or self-employments. Eligibility to file Chapter 13 is based
upon the following as some of the criteria:
- Your income.
- The amount of disposable income you have after your monthly allowed bills are paid.
- Your assets and liabilities.
- The amount of debt you owe.
- The value of any property you own.
Everyone has the right to seek bankruptcy protection. If you have filed
bankruptcy in the past, there may be restrictions in filing again, or
the form of bankruptcy you will be allowed to file. Let us look over your
financial situation and guide you in the right direction.
Contact our firm and speak with us about your situation. We can help.