Disadvantages of a Badly-Timed 5-Year Chapter 13 Case
Following up on last week's scenario, here are the financial, credit record, and other disadvantages of a forced 5-year Chapter 13 plan.
An Example Why Passing the Means Test May Be Easier in 2018
Filing bankruptcy before the end of December may help you qualify for Chapter 7 bankruptcy. Here's an example showing how this could work.
Pass the Means Test by Filing Bankruptcy in 2018
The timing of your bankruptcy filing can determine whether you qualify for quick Chapter 7 vs. paying into a Chapter 13 plan for 3-5 years.
Good Timing Can Shorten Your Chapter 13 Case by 2 Years
We show how wise timing in your filing of a Chapter 13 "adjustment of debts" case could shorten your payment plan from 5 years to 3 years.
Timing Can Be Crucial for Passing the Means Test
With smart timing you can take advantage of the unusual way that your "income" is calculated for the Chapter 7 means test.
Your “Applicable State” for the Means Test
Determining your correct "applicable state" can make the difference between passing and failing the means test.
A Simple Example of Passing the Means Test
We show by example how the means test works, when a person qualifies for a Chapter 7 case simply by income.
Household Size Really Matters for Passing the Means Test
You can have more income for the purpose of passing the means test as your household size increases. But what IS your household's size?
No Means Test If You Have More Business Debts than Consumer Debts
You only have to pass the means test if you have "primarily consumer debts." If you have more business debts, skip the means test.
The Chapter 7 Means Test
You have to pass the means test to qualify for a Chapter 7 case. It's often an easy test to pass but one with some crucial twists and turns.
What Is Size of Your Family for the “Means Test”?
You must use the right "number of people in your household" to qualify for Chapter 7. It's not always obvious.
What Is Your State for the “Means Test”?
You must use the right "state in which you live" to qualify for Chapter 7. It's not always obvious.
What is Considered “Income” for the Chapter 7 “Means Test”
"Income" is not what you think it is--it's much broader than usual and fixates on the 6 full calendar months before your bankruptcy filing.
The New Median Income Amounts for the Chapter 7 “Means Test”
Besides the many 3-year cost of living increases happening on April 1, 2016, new median income amounts also start applying on the same day.
The Military Exemptions from the Chapter 7 “Means Test”
You qualify for Chapter 7 without having to pass the "means test" if you fit within these very specific military-related exemptions.