How do I know if I can file for Chapter 7 Bankruptcy?

If you live in North Carolina and are considering filing for Chapter 7 bankruptcy, there are a few things you should know before you make the decision. The first thing to determine is whether or not you qualify for Chapter 7 bankruptcy. To qualify, your total monthly income must be lower than the median income of your state, which in North Carolina is typically around $50,000. If your income is higher than the median income, you may still qualify if your expenses are higher than your income. In addition, you must complete the means test, which takes into account your income and expenses. Another factor that will determine whether or not you are eligible for Chapter 7 bankruptcy is the type of debt you have. Chapter 7 bankruptcy is primarily used to eliminate unsecured debts such as credit cards and medical bills. Secured debts such as mortgages or car loans, are not typically eligible for this type of bankruptcy. Finally, you must also attend a credit counseling class and receive a certificate of completion prior to filing for bankruptcy. This is a requirement of all states and is designed to ensure that people are aware of their legal rights and the consequences of filing for bankruptcy. By understanding all of these requirements and determining if you meet the criteria, you can determine if you are eligible to file for Chapter 7 bankruptcy in North Carolina. It is also important to seek professional advice from a qualified bankruptcy attorney so you can make an informed decision.

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