, it is best to seek the advice of a trained legal expert. Experienced bankruptcy lawyers have insight on the best measures to take when a client is faced with financial problems. An experienced bankruptcy lawyer can help a client recover from financial problems within a short time. In today's economy many people are faced with unemployment, which does not allow them to meet their financial obligations such as medical bills and personal loans. Chapter 7 will help to reduce the financial burden on such people by allowing for the discharge of most of a debtors unsecured debt. If one is to be prudent then one should consult with an experienced and knowledgeable bankruptcy attorney who then can provide insight to the eligibility criteria for the filing of a Chapter 7 Bankruptcy:
Pass the means test
One of the biggest hurdles a debtor must pass in order to be eligible for a Chapter 7 Bankruptcy filing is the Means Test. Before filing for chapter 7, people are required to pass the means test. This test is designed to weed out individual debtors who make "enough" money to put them into a debt repaying Chapter 13 Bankruptcy. Consulting with an experienced bankruptcy attorney ensures that the debtor has the best chance on passing the means test.
Unable to meet debts
The essence of filing chapter 7 is the inability to pay debts. The client may be faced with a lot of debts that result from the loss of income. This requires urgent measures to avoid bankruptcy, and save the person from financial distress. It is essential to seek the services of qualified and experienced bankruptcy lawyer, who is aware of the bankruptcy process. It is also vital to ensure that one has insight on his or her full financial position. Before filing for chapter 7, clients are expected to disclose all their sources of income, as well as debts.
Court declares eligibility
The court uses certain criteria to establish the eligibility of a person for chapter 7. It is essential to note that a person will only be deemed eligible, if (s)he shows sufficient proof that (s)he is not able to pay his debts.