Denver Bankruptcy FAQ:
Qualifying for Bankruptcy
How to qualify for bankruptcy in Denver, Colorado
Although some forms of bankruptcy, such as Chapter 13, require monthly payments, Chapter 7 bankruptcies are available to all individuals who have a significant amount of debt and no foreseeable way to pay off all debts in full. Being unemployed does not affect eligibility.
There are no income guidelines when it comes to bankruptcy. Each bankruptcy case is different, but in general, bankruptcies follow a series of financial difficulties which gradually make monthly debt repayment unmanageable. Anyone can fall on hard times, even those in the middle and upper class.
No. By the time most individuals think of bankruptcy they are already in significant financial trouble, but in some cases, individuals have a significant amount of debt, have a change in either payments or income and see no possible way to make full repayment of loan. Many of these individuals qualify for bankruptcy even before having a single late payment.
All individuals who own property within the US or do business in the US may file for bankruptcy regardless of residency or citizenship. Foreign debts are often not eligible for discharge, but US debts can be discharged through bankruptcy for foreign citizens and individuals who reside outside of the US assuming they own property or conduct business within the US.
Yes. The amount of time one must wait between discharges to file again is specific to which type of discharge an individual received and what type of bankruptcy they plan to file.
Unforeseen circumstances such as job loss, divorce, disability, and natural disaster leave millions of individuals within the US unable to pay their debts. An inability to pay debts because of unforeseen and unpreventable circumstances is nothing to be ashamed of and help does exist. Bankruptcy is designed to help individuals in significant debt resolve their debts and settle with creditors. Many people finding themselves in significant debt often pose the question, “Do I qualify for bankruptcy?”. Each of the 6 types of bankruptcy have their own eligibility requirements but the general definition for eligibility is when debt payments and reasonable minimal living expenses surpass an individual’s income and make full debt repayment inconceivable. There are millions of Americans who technically quality for bankruptcy but other options are available to many of those individuals.