Are there any limits on how much I can spend in Chapter 13 Bankruptcy?

In South Carolina, Chapter 13 Bankruptcy Law does have limits on how much you can spend. These limits are based upon what is known as the “Means Test.” The Means Test requires you to look at your current monthly income and compare it to the income of other households in South Carolina. If your income is lower than the median household income in your state, you are eligible to file for Chapter 13 bankruptcy. However, even if your income is lower than the median income, you still have to follow certain spending limits if you want to qualify for Chapter 13 Bankruptcy. These limits typically include your monthly housing costs, food, utilities and other necessary payments such as child support, taxes, car payment, and health insurance. The bankruptcy court will also require you to follow a strict budget in order to qualify. If you exceed these spending limits, you may not qualify for Chapter 13 Bankruptcy. In addition, the amount of debt that you can include in your Chapter 13 Bankruptcy is limited as well. You can usually include certain types of secured debt, such as mortgages and car loans, as well as certain types of unsecured debt, such as personal loans and credit card debt. You cannot include certain types of debt, such as student loans and certain taxes, in your Chapter 13 Bankruptcy. Overall, there are certain spending limits that you must follow if you want to qualify for Chapter 13 Bankruptcy in South Carolina. It is important to understand these limitations in order to determine if Chapter 13 Bankruptcy is a viable option for you.

Are there any limits on how much I can spend in Chapter 13 Bankruptcy?

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