What is the means test?
In 2005, Congress implemented the means test as a requirement for Chapter 7 bankruptcy. The means test requires Chapter 7 debtors to earn below a specified amount of income to be eligible.
Do all debts get discharged?
Most unsecured debts are discharged in Chapter 7. Unsecured debts are loans without collateral, such as credit cards and medical bills.
Will I lose my home?
Homestead property (primary residence) is an exempt (protected) asset in Chapter 7. Therefore, you may not have to forfeit your home as a condition of the bankruptcy.
Can I keep my car?
Bankruptcy law provides exemptions to help protect a car’s equity. You may also be able to reduce the balance owed without sacrificing the car or other assets.
