Is there a limit to the amount of debt I can have when filing for bankruptcy?

Yes, there is a limit to the amount of debt you can have when filing for bankruptcy in Hawaii. When filing for Chapter 7 bankruptcy, the amount of unsecured debt allowed in Hawaii is $400,000 for individuals and $800,000 for married couples. Unsecured debt includes credit card debt, medical bills, and other personal debts. When filing for Chapter 13 bankruptcy, the amount of debt allowed is determined by an individual’s disposable income. Your disposable income is calculated by subtracting your necessary expenses, such as food, clothing, taxes, and utilities, from your monthly income. The amount of debt allowed in Chapter 13 bankruptcy depends on your disposable income and is generally between $258,250 and $419,275 for individuals and between $516,500 and $838,550 for married couples. In Hawaii, the bankruptcy court has the right to deny any petition if they feel the amount of debt outstanding is excessive and the debtor is not in a position to repay the debt. Before filing for bankruptcy, it is important to review your situation with an experienced attorney to ensure that you are eligible and in compliance with all applicable laws.

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Is there a limit to the amount of debt I can have when filing for bankruptcy?

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