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

When it comes to filing for bankruptcy in Massachusetts, there is a difference between Chapter 7 and Chapter 13 bankruptcy. In general, Chapter 7 is a liquidation of non-exempt assets and is the more common type of bankruptcy. On the other hand, Chapter 13 is a form of debt repayment in which the debtor agrees to pay back some or all of their debt over a period of time. To determine which form of bankruptcy you are eligible for, you will need to take a means test. This means test will look at your income, expenses, and assets and will determine if your income is too low for Chapter 13 or too high for Chapter 7. If your income is too low, then you will likely qualify for Chapter 7. If your income is too high, then you will likely qualify for Chapter 13. It is important to note that there are special eligibility requirements for certain types of debt. For example, if you have received a tax lien or other priority debt, you may not be eligible for Chapter 7. Moreover, if you are filing with your spouse, the means test must take both of your incomes into account. In conclusion, to determine if you are eligible for Chapter 7 or Chapter 13 bankruptcy in Massachusetts, you will need to take a means test. This test will look at your income, expenses, and assets to determine if you are eligible for either type of bankruptcy. It is important to note that certain types of debt may require special eligibility requirements.

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

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