How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask HCLegal Your Own Question
HCLegal, Attorney
Category: Bankruptcy Law
Satisfied Customers: 423
Experience:  I have filed over a thousand bankruptcy cases.
Type Your Bankruptcy Law Question Here...
HCLegal is online now
A new question is answered every 9 seconds

What are the guidelines for filing for Chapter 7 or Chapter

This answer was rated:

What are the guidelines for filing for Chapter 7 or Chapter 13. I do not want to file for my home or other items.

HCLegal : Hello and thank you for your question here on Just Answer.
HCLegal : Chapter 7 and chapter 13 do different things....
HCLegal : Chapter 7 is a liquidation, meaning you do not pay anything back. Most people that file chapter 7 do not lose any of their property.
HCLegal : Chapter 13 is more like a debt consolidation, where you would make a monthly payment to a trustee for 3-5 years to pay back a portion of your debt.
HCLegal : Most people that file bankruptcy, file chapter 7, it's quicker and easier and you don't pay anything back.
HCLegal : The main reason you would want to file chapter 13 is if you are trying to stop your house from foreclosed on, or if you are trying to stop your car from being repo'd or if you just make too much money to qualify for chapter 7. Chapter 7 is income based, if you make too much money you will not qualify.
HCLegal : Clarification on the chapter 7 description, you do not pay any of your unsecured debt back. You do have to pay your secured creditors if you want to keep that property.

Can the court force me to refinance my home, which would be hard to do because of the amount owed. I have talked with a consolidation company, but I do not feel they are trying to help at this time. I did sign for a three year plan with them ( which is refundable ) to settle all accounts. At this point I have 1148.00 in their account in my name for this. What are the guidelines for income of chapter 7

HCLegal : How many people live in your home?

My wife and myself only

HCLegal : And no, the court will not force you to refi your home.
HCLegal : One moment while I determine the median income for a two person household in Ohio.
HCLegal : The median income for a two person household in Ohio is $50,253
HCLegal : If your gross income (excluding social security) is less than that, you should qualify for a chapter 7.

With my retirement and ss, and my wife's ss our total income 38820.00. Most of the debit owed is credit cards in my wife name, but most was actually charged by me or both. Should we file together or separately. If I do not claim social security my retirement is 15432.00 and my wife has no other income.

HCLegal : Geneeslly you should file together unless none of the debt is in your spouses name.
HCLegal : Generally..... Not geneeslly weird autocorrect sorry

If you file Chapter 7 bankruptcy what happens to your credit rate

HCLegal : At first it will go down, as bankruptcy is the worse thing you can do to your credit. Mbut it is easier to rebuild your credit after the bankruptcy. It generally take 1-2 years to rebuild your credit after the bankruptcy is over.

I thank you, XXXXX XXXXX will save this info, and may come back to you for future info.

HCLegal : You are welcome...
HCLegal :  I hope you found my answer helpful, and if so please do not forget to click ACCEPT, this is the only way that I will get credit for assisting you– I receive no credit for helping you unless you actually press ACCEPT, even if you already have a subscription. If you need more information, please use the REPLY button and I’d be more than happy to answer to your satisfaction. There is no fee for follow up questions before or after accepting, if we continue the conversation. If you feel that I went an extra step to help you, a bonus in the form of another accept or an “add on” (available after you accept) is truly appreciated.Positive feedback is also greatly appreciated.  I leave all my customers feedback and it will only take a second!
HCLegal and other Bankruptcy Law Specialists are ready to help you