Qualifying for Chapter 7 bankruptcy in Illinois depends on a couple of factors, including income and assets. This post covers how the means test compares household income to the state median and how the trustee looks at property in a liquidation. It also explains how a review of income and assets can point toward Chapter 13 as a potentially better option.
Frequently Asked Questions
Do I qualify for Chapter 7 bankruptcy in Illinois?
Whether or not you qualify for a Chapter 7 bankruptcy in the state of Illinois is dependent on a couple of factors. One is your income. There’s something called a means test analysis, which is what compares your gross household income to the median gross annual income for a household of your size in the state of Illinois.
The other is assets. Chapter 7 is a liquidation, which means that the trustee that oversees the case is actively looking at the value of property that you have, such as homes and vehicles, to determine if anything can be liquidated. Part of the consultation process at Pratt & Maegli Law Firm is a review of assets and income to determine whether you do qualify for a Chapter 7 or if potentially a Chapter 13 might be a better option for you.
Are you struggling financially? Pratt & Maegli Law Firm in Rockford help Illinois families and individuals explore Chapter 7 and Chapter 13 options with clear answers and a personal approach. Call (815) 315-0683 or visit rockfordbankruptcytoday.com to schedule a confidential consultation and take the first step toward real financial relief.
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