Perhaps you’ve been struggling for quite some time now to restore financial stability after things got a bit off track. Maybe you had some unexpected medical bills, lost a job or encountered any number of challenges that cause many California residents to experience money problems. The good news is that your problems are likely temporary, as most financial troubles are.
If you’re already a step ahead because you’ve made a decision to file for Chapter 7 bankruptcy, you’ll want to make sure you are eligible for proceeding any further. If it turns out you’re not, do not despair. There are other types of bankruptcy that may better fit your needs. By researching the qualifications you need to meet before applying and by knowing where to seek support, you lay the groundwork for solid solutions and hope for a stronger financial future.
Chapter 7 checklist
A brief review of the following list of requirements will give you a good idea as to whether or not you will qualify for Chapter 7 bankruptcy. The list is not extensive, however, so if you think this is the path to take, you’ll want to conduct further research and perhaps speak to someone well-versed in bankruptcy law. These issues apply to Chapter 7 applications:
- You must be filing as an individual, business owner or married couple.
- Your income must be at or below the median household income of your state.
- You cannot have another bankruptcy discharged on your financial record within the past eight years.
- You must agree to attend credit counseling sessions.
- Not only do you have to receive credit counseling, you must do so within a certain time frame or you may face a dismissal of your case.
Facing serious financial problems can be so stressful, especially if you have a spouse and children at home. If your situation includes a threat of foreclosure, it has likely intensified your stress. There are often several options available to help you get back on your feet financially, and if one option winds up not working, you can pursue another.
Reach out for support
Chances are, someone in your extended family or a close friend or co-workers has already overcome financial problems in his or her life. You may not have been aware of it while is was happening. Asking others for advice regarding what worked and what didn’t can help you create a plan for your own situation. You can also reach out for legal support at any time.