If you file bankruptcy, you may be able to get financial relief and escape from a debt burden that has become impossible to manage. While almost everyone is eligible to file for protection under one of the chapters of the Bankruptcy Code,  are certain limitations on who may file for bankruptcy and on what chapter of bankruptcy you are eligible for.
A Melville, NY bankruptcy lawyer can assist in reviewing your circumstances and helping you to decide if you can file bankruptcy. If you are eligible and bankruptcy is right for you, Ronald D. Weiss, P.C. will assist with every step of the bankruptcy process so you can find relief from your debts.

Can I File Bankruptcy?

As a general rule, you can file some chapter of bankruptcy if you have not had a recent filing. However, if you had your debts discharged in a bankruptcy within the past several years then you may need to wait. The time limits differ regarding when you can file bankruptcy again after having debts discharged.
For example, if you already filed Chapter 7 and wish to file Chapter 7 again, you must wait eight years.  If you completed a Chapter 7 and you now wish to file for Chapter 13 bankruptcy, you have to wait four years. However if you completed a chapter 13 and now want to file Chapter 7 then your wait is six years.
Knowing the exact waiting period is confusing since there are so many different scenarios and you need to talk to a Melville bankruptcy lawyer who will help you to determine if your prior bankruptcy will prevent your current filing.
As long as you have not filed recently, you can file bankruptcy to resolve debt problems that were the result of financial hardship or honest mistakes. You cannot file bankruptcy in an attempt to defraud your creditors.

What Chapter Can I File Bankruptcy Under?

Changes to the bankruptcy law in 2005 made it more difficult for people to file bankruptcy under Chapter 7 of the bankruptcy code. Under current rules, you must prove you are eligible by demonstrating that you make below the median income for your family size in the location where you live or that you can pass a means test.
The means test looks at your required expenses and your income to see if you have money available after you pay your essential bills. If you have money left over that can be put towards debt repayments, you are not eligible to file a Chapter 7 and instead must file a Chapter 13. The big difference is that a Chapter 7 repays creditors by selling some non-exempt assets you own and then discharges remaining debts while Chapter 13 requires a three-to-five year repayment plan but lets you keep your assets.
Determining what chapter you are eligible to file bankruptcy under can also be confusing for both individuals and businesses as there are multiple options. Ronald D. Weiss, P.C. can assist with every step of bankruptcy including determining eligibility to file. Call or contact us online today to learn more.