Do judges or lawyers HAVE to grant a bankruptcy?

Question

Do they go by how much you make or how much you have to pay off? We make just enough to put a little in savings but we owe alot

Answer 1

Whether you can file chapter 7 (debt liquidation) or 13 (Payoff plan) is based on income & assets plus payouts. You start by seeking a lawyer. I recomend finding one that specializes in bankruptcy cases. Your lawyer will give you a list of what needs to be done to file. You will then need to contact an independant agency to get certified to file bankruptcy. Your lawyer will give you the contact info. Some of what you will need is credit reports, bills, paystubs, tax returns, the list goes on. The lawyer will talk you through it all.

Answer 2

There are several forms of bankruptcy. The types most commonly used by consumers are Chapter 7 and Chapter 13. Under Chapter 7, the consumer can liquidate everything that they own of value that is not exempt and get a clean slate. This was commonly used by people in a lot of credit card debt. The other most common form was Chapter 13 under which the consumer is placed on a repayment plan. The law recently changed making it harder to satisfy eligibility requirements for Chapter 7. This was part of the pro business legislation enacted by the conservative legislature. The court will look at what you make versus what you owe and determine if you are eligible for Chapter 7. If not, you will have to go under Chapter 13 and repay the debts over time. Any bankruptcy attorney can advise you of you eligibility for the respective plans. Unless you own a home that you want to keep, Chapter 7 is the way to go if you qualify. If you are under a Chapter 13 plan and you do not make the payments called for, the judge can dismiss the bankruptcy and you are back where you started. Bankruptcy should be a last resort.

Answer 3

Bankruptcy courts do not have to grant a bankruptcy. If you make enough money to pay your debts or if you have a lot of "non-exempt" assets that could be liquidated to pay your debts then the court can find that your bankruptcy filing is in bad faith and your case could be dismissed. Also, if you commit fraud in connection with a bankruptcy (like hiding assets, failing to report income, transferring assets to relatives, etc.) the court can reject your bankruptcy.

Answer 4

Well there is a ch. 7 and ch. 13. Typically a 7 is a liquidation of unsecured debts. Not everyone qualified for a ch. 7 through a means test. Creditors have rights in BK as well. If loans or cc transactions are recent, those may not be discharged in the BK.

Answer 5

oh well i think they consider both but it will be better if you aid an expert help. visist this site and ask the experts urself

http://www.freewebs.com/lawyersinfo