Qualifying for the Means Test

Dedicated Bankruptcy Attorney Serving White Plains

In just one year, data collected by the U.S. Bankruptcy Courts revealed that over 100,000 people filed for Chapter 7 bankruptcy. This number is rising and every day, people find relief from their debt by choosing to file for bankruptcy. However, there is a kind of catchall for those hoping to pursue Chapter 7 bankruptcy – the means test.

I am here to show you that bankruptcy doesn't have to be as confusing as it sounds and this starts with the means test. My firm can walk you through the process, addressing your concerns as they arise. I understand how the means test works and how to legitimately and skillfully help you pass the means test. If you do not pass the means test, I also know how to help you create an affordable and reasonable Chapter 13 bankruptcy repayment plan where you may only pay back a fraction of what you owe. My experience as a White Plains bankruptcy attorney has allowed me to successfully help countless clients and I would be honored to do the same for you.

What is the means test?

The means test is a way to determine who is eligible to file for Chapter 7. In Chapter 13 it also affects how much you may have to repay your creditors. It involves comparing your income to the average income for households in your area, giving you credit for appropriate expenses you may deduct from your income and thereby assessing your ability to pay off certain debts.

The means test asks two questions:

  • Is your income higher than the median income in your state?
  • Do you have more than a certain amount of disposable income which is enough to pay off certain debts?

Those who answer "no" to the first question automatically qualify for Chapter 7 and do not have to answer the second question. However, if your income is higher than the median, you are then required to calculate the income you have left over after credit for certain expenses. If that remaining income is too high, then you do not qualify for Chapter 7.

Although you might qualify for Chapter 7, this doesn't always mean it is the best decision for you. Consulting with my Westchester County bankruptcy firm takes the burden off of your shoulders and allows you to make the most informed choice.

I may be able to help you achieve the financial future you've dreamt about. Contact your trusted White Plains bankruptcy attorney today!

Get Started With a White Plains Bankruptcy Attorney

The best time to review your options is before debt becomes so unmanageable that bankruptcy is your only choice. The small size of my firm allows me to focus all my efforts on each client that I work with and ensure that your goals are not only met, but surpassed.

I offer free initial consultations and serve all of White Plains & Westchester County, as well as numerous other communities throughout New York. Call Natasha Meruelo, Attorney at Law today!

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