Sometimes, a person who is deep in debt won’t have any assets or available money to pay off what they owe. Even making minimum payments is a big struggle. In these cases, a Chapter 7 bankruptcy might be in order, but only if the person can pass the means test. This is a set of guidelines that looks into a person’s financial situation to determine whether they are allowed to file this type of bankruptcy or have to go with a different option.

We know that you might have some concerns about this. We can help you find out if you do qualify. If you do, we will help you find out about the process so that you know what to expect. The more you know, the better you might fare during it.

One thing to remember about a Chapter 7 filing is that you don’t have to make regular payments to the bankruptcy court. Instead, the bankruptcy court will use your nonexempt assets to pay off what it can from the creditors. If there are balances left, they will be written off.

The alternative to this is usually a Chapter 13 bankruptcy, which involves making payments to the bankruptcy court. These are split between your creditors based on a preset list of priorities. Once you make all the payments you are required to make, any balance remaining will be written off by the creditor.

This is a big decision for you to make. We are here to help you determine if a Chapter 7 bankruptcy filing is something you want to do.