The Chapter 7 Bankruptcy Means Test is one of steps necessary to determine your eligibility to file Chapter 7 bankruptcy.
What is the Chapter 7 Bankruptcy Means Test for?
The Chapter 7 Bankruptcy Means Test is used to determine if you have the ability to repay your debt.
If you don’t meet the Chapter 7 Means Test criteria, you will likely need to consider Chapter 13 Bankruptcy instead of Chapter 7.
In short, in Minnesota the Chapter 7 Bankruptcy Means Test is used to determine if your income is less than the median income for your size household in this state.
This threshold is different for every state.
Just because you ‘pass’ the Chapter 7 Bankruptcy Means Test does not necessarily mean you should file Chapter 7 bankruptcy.
There are many things to consider when deciding which bankruptcy is right for you and your circumstances.
An experienced Minnesota bankruptcy lawyer can advise you of the advantages and disadvantages of Chapter 7 bankruptcy.
It is important that you make a fully informed decision when considering bankruptcy.
Our Minnesota bankruptcy lawyers are located in four convenient locations throughout the Minneapolis and St. Paul communities.
Alternatively, call us at 612.824.4357 and tell us what you need us to do.