Many people believe that you need a certain amount of debt before you can file for Chapter 7 bankruptcy. The focus isn't necessarily only on how much debt you have, instead we look at a variety of factors to decide whether bankruptcy is the best strategy for you.

How high is your current monthly income? In general, if your income is equal to or less than the median family income in your state, then you can file bankruptcy under Chapter 7. However, if your income is greater than the state's median income for a family your size, then you'll have to pass the Means Test to file for Chapter 7 bankruptcy. The main purpose of the Means Test is to determine whether you have enough disposable income to repay a portion of your debts over 5 years under Chapter 13. Contact Toledo Ohio lawyer Scott Ciolek for a free consultation to go over your options.

DISCLAIMER: Information adapted from NCLC. Please remember the law often changes. The summary explanations above are for general informational purposes only and are not intended as legal advice. No attorney-client relationship is created herein. Each situation is different and specific legal advice should be sought.

Contact Toledo OH Bankruptcy Lawyer Scott A. Ciolek for a free consultation.