We often hear from potential clients that they have been told by friends, family and even creditors they could not file for bankruptcy. In this situation, it often quickly becomes clear that these helpers, some of whom mean well, do not know enough of the client’s financial situation to correctly advise the client even if they were qualified to provide legal advice. Knowing one’s rights is one of the best ways to make sure that you are making a good choice for the future. If you are in Spring Hill, Brooksville or elsewhere in or near Hernando County, we offer a free consultation. Call now for a free initial consultation, 1-352-683-1766.
The truth is that most individuals qualify for some form of bankruptcy relief. Most are entitled to file under the chapter of their choice. Even though nearly all would be eligible for relief, some make the decision to solve their bankruptcy problem in some other manner, or delay bankruptcy in an effort to avoid bankruptcy. Each consultation with our office includes a discussion of the alternatives to a bankruptcy filing and the advantages and disadvantages of each. If you are in Spring Hill, Brooksville or elsewhere in or convenient to Hernando County, we offer a free consultation to discuss your bankruptcy rights. Please call us at 352-683-1766.
The truth is that the new bankruptcy law has affected the ability of some Debtors to file bankruptcy under the chapter of their choice because of their income, to the extent that it is not offset by certain expenses and allowances deemed allowable by law. This is called the means test. Where household income falls below the median based upon household size, the Debtor is not required to complete the entire means testing formula and automatically passes the means test. (The Debtor may still choose to file another form of bankruptcy based upon debts assets or other issues.)
The U.S. Trustee provides the current median income figures, by state, on their website. The means test is also not applied where the Debtor qualifies as a business debtor. Some who are currently or have recently served in the armed forces are also excused from the means test.