Why You May Want to Wait Before Filing a Chapter 7 Bankruptcy Case
Individuals who recently were laid off or received a pay cut may want to wait a few months before starting the process. Chapter 7 bankruptcy requires your income be less than the Texas median level, and your past 6 months of pay will be used to determine your eligibility. (insert link to Whether to File a Chapter 7 Bankruptcy Case in Texas)
If you are expecting to receive assets soon that will exceed the allowable exempt limit set forth in a Texas Chapter 7 bankruptcy case, then you may want to wait. This will permit you to use the monies instead of turning them over to your bankruptcy trustee.
Generally when you file for bankruptcy, the day that you file will serve as a cutoff date. The debts accrued on or before this date will be part of your case and eliminated through your filing. Any later debts that you accrue will not qualify.
Selling a second property and using the proceeds for necessities will allow you to benefit from the sale. You then can file for bankruptcy if still warranted.
Making the decision to file a Chapter 7 bankruptcy case is never easy. The experienced bankruptcy attorneys at Warren & Migliaccio, L.L.P. understand. They will do what they can to protect your assets and make the process as painless and simple as possible for you. Give them a call at 1-888-584-9614.