Bankruptcy May Solve Financial Woes

Is your bank account constantly in the red? Do you have trouble making your regular monthly payments? If so, you may be considering bankruptcy to solve your problems.

However, before you file for Chapter 7 bankruptcy, also known as "fresh start" bankruptcy, you need to understand what it can offer you. For individuals like you, Chapter 7 bankruptcy will give you a clean slate to work with by discharging most of your debts. Depending on what state you live in, there are exemptions that will give you enough money to live on, while requiring you to pay off some debts.

To see if you qualify for Chapter 7 bankruptcy, you need to take the "means test." Put in place in 2005, the means test determines whether your current and future income is enough to file for bankruptcy. In some cases, your income may be too high for Chapter 7 bankruptcy, automatically disqualifying you. While it varies from case to case, Chapter 7 bankruptcy usually takes between 4 to 5 months to complete.

To get legal help throughout the bankruptcy process, contact our legal team to receive assistance from a Chicago bankruptcy lawyer.