Search Site
Menu
Do You Have to Be Completely Broke to File for Bankruptcy?

The idea that you need to be flat broke to seek bankruptcy protection is a misconception. The amount of money you make and the amount of debt you have are not the sole factors that determine whether or not you should file for bankruptcy.

However, although there is not a minimum amount of debt required to file for Chapter 7 bankruptcy, there are certain other requirements. You are more likely to be able to file for bankruptcy if you are unable to pay your debts, or if you are facing lawsuits, wage garnishment, repossession or other threats from creditors.

Some of the requirements for filing for Chapter 7 bankruptcy are as follows:

  • Income. You must pass the “means test,” which compares the amount of money you make to the income of similar-sized families in Georgia. This test is in place to ensure that only those who cannot afford to make their debt payments are protected under Chapter 7.
  • Filing history. If you have filed for bankruptcy in the past, there’s a chance you won’t be eligible to do so again. In Georgia, you need to wait eight years after you first filed for Chapter 7 bankruptcy to be able to move forward with this process once again. If you file before that eight-year time limit has expired, your discharge will likely be denied and you will still be responsible for all your debts.
  • Accepted debt. Chapter 7 only allows for discharges of certain types of debt. Unsecured debts — such as payday loans and credit cards — can usually be discharged, but tax debts and student loans typically are not eligible.

To learn more about the requirements you must meet to file for Chapter 7 bankruptcy protection, contact the knowledgeable Georgia bankruptcy attorneys at Jeff Field & Associates online or at 404-381-1278 today.


Related Posts:


 

Leave a Reply

Your email address will not be published. Required fields are marked *

Videos
Our Attorneys
Client Reviews
  • google
    5.0/5.0

    Higlhy professional firm. Jeff Field and Associates did whatever they said they would do. Very well versed in this type of law and their customer service is great. I highly recommend them.

    Read more

    Roy Naturman

  • google
    5.0/5.0

    I would definitely recommend Jeff to anyone filing for bankruptcy. He was very nice. He lets you know what's going throughout the process. Thank you Jeff. Athens, Ga.

    Read more

    Anita Craig

  • google
    5.0/5.0

    I am so glad I chose this firm for my bankruptcy journey. Everyone there is so friendly and helpful and made me feel so much better about the entire process. They made everything so quick and simple and now I can have a fresh start. I would absolutel...

    Read more

    Andrea C

  • google
    5.0/5.0

    Jeff Field and staff provided excellent services. The team was always there to answer questions and made the process, during this difficult time, simple and uncomplicated. He is a real professional and true credit to the law field.

    Read more

    Satisfied Customer

  • yellowpages
    5.0/5.0

    Jeff Field and staff provided excellent services. The team was always there to answer questions, responding to every email and call that I had questions and concerns about and I got answers, making this process, during a difficult time, straight forw...

    Read more

    Satisfied C.

See all reviews
Contact us

Please fill out the form below and one of our attorneys will contact you.

Quick Contact Form