Hi and thank you for your question. In the future, you can request me to answer any further questions.
Generally, unless you have had recent usage on your debts, I advise my clients not to pay on the debts they want to discharge in the case, and obviously do not incur debt before filing.
When you file, you must list all assets, including money in the bank and cash etc.
In TN there is a $4000 wildcard to use to exempt cash, bank accounts and personal belongings.
To determine if your income qualifies you for chapter 7, you need to complete the means test.
This calculates income and expenses for all the household income over the 6 months leading up to the case.
Absent special circumstances, and without knowing your allowable deductions for actual expenses (tax, Child support, insurance etc) I would think you would not pass the means test, and would need to look to chapter 13. But, there are exceptions so I recommend you meet with a local bankruptcy attorney to review your means test and your asset protection exemptions available to you.
Her business should not be affected if it has not even started yet.
Thank you for your question, good luck.
I would like some more clarification please:
sure, on what?
1. Does my bank account need to be at zero to file for Chapter 7? 2. If my wife's business opens in December 2010 and I file for bankruptcy Jan 1 2011 will it be affected? Thanks!
you have $4000 wildcard, to use on any assets like bank accounts, furniture etc, so it does not have to be at $0
If the business is solely in her name, debts in her name, and you do not fund the business, then no, it should not affect her.
You are welcome.
DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.
The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).