more documents to prove you qualify see the Bankrupcy Checklist.
Mandatory Credit Counseling filing a
Chapter 7 or 13 requires about 90 minutes of Debt Settlement Affiliate Program
credit counseling by an approved non profit credit counseling agency.
Mandatory Debtor Education.
Filing requires classes after you file too.
If your
prior 6 month income averages less than the average for your family size you may file a Chapter 7.
You may still qualify however. If after deduction for secured
expenses and required
expenses you cant pay a plan you may still file a Chapter 7.
If you fail both parts of the means test you must file a Chapter 13 you
cannot file a Chapter 7.
If you filed a Chapter 7 you cannot file another Chapter 7 for 8 years, you cannot file a 13 for 4 years. If you filed a Chapter 13 you cannot file another 13 for 2.
Finance companies used to take your furniture as security under the new law we cannot destroy these liens as easily.
Both government and now non government student loans are dischargeable
Income taxes over 3 years old will be more difficult to discharge
It becomes fraud to charge over $750 within 90 day the old rule was $1000 in 60.
Cash advances or luxury goods purchases make this only $500
Chapter 7 Redemptions (buying your car from the bank) was for the wholesale value now it is the
private party value
Chapter 13’s have to pay the car company back the full amount of the loan
or offer a take it or leave it plan to pay less.
Chapter 13 plans if you earn over the average must now be for 5 years and must pay all the left over income. Plus you must attend a hearing as least 10 days prior to discharge and prove you have no pending debts for fraud or felony charges.
Child Support must be paid and up to date or
a Chapter 13 case will be dismissed or converted. But a debt for Child Support to the government may be paid in a 13 as long as it pays all of the disposable income for 5 years. To a parent it must be paid in full.
