Bankruptcy is a means employed by many to discharge debt and give the debtors a chance for a clean slate. However, in order to prevent fraud, a \u201cMeans Test\u201d under the Bankruptcy Abuse Prevention and Consumer Protection Act was created by the Bankruptcy Court. To qualify for bankruptcy that enables the debtors to have their debts cleared and have a fresh start, the means test must be passed first to discourage abuse of the system.<\/p>\n
Means Testing information<\/strong> <\/i><\/em>\u2013 compels you to be eligible for the requirements through passing the \u201cmeans test\u201d before being qualified to apply for Chapter of the Bankruptcy Code. Once you determine that the monthly income for your household is lower than the average income of your estate, you are qualified for the means test but if it is higher, you might need to deduct the pre-set expenses and calculate your disposable income.<\/p>\n To compute your disposable income, you need to get the total amount of your income and deduct the following:<\/p>\n If the number left is insufficient to pay off a part of the debts over a repayment plan lasting five years, then you are eligible to file bankruptcy. The calculations for filing for bankruptcy are complicated and overwhelming but with the help of our bankruptcy attorney<\/u><\/a>, we will help you in determining your qualifications and complete your computations.<\/p>\n\n
<\/span>Arizona Median Income Levels<\/i><\/em><\/span><\/h3>