How do I know if I am eligible for Chapter 7 or Chapter 13 bankruptcy?

In Colorado, it is possible to file for either Chapter 7 or Chapter 13 bankruptcy. Whether you are eligible for one or the other is based on your current income. If your current income is lower than the median income in the state, you may be eligible for Chapter 7 bankruptcy. This type of bankruptcy allows you to discharge most of your debt, but some debts, such as taxes, student loans, and child support, cannot be discharged. If your current income is higher than the median income, you may be eligible for Chapter 13 bankruptcy. This type of bankruptcy is more of a repayment plan, where you must pay back some of your debt over an extended period of time. This allows you to keep assets such as your home and car that could otherwise be lost in a Chapter 7 bankruptcy. When deciding which type of bankruptcy to file for, it is important to speak to a qualified bankruptcy attorney who can evaluate your situation and advise you on the best course of action. They can help you understand your options and make sure that you are aware of what filing either Chapter 7 or Chapter 13 will mean for your future.

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How do I know if I am eligible for Chapter 7 or Chapter 13 bankruptcy?

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