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Below Median Income – Chapter 7 Bankruptcy

Posted by Kevin on July 20, 2011 under Bankruptcy Blog | Be the First to Comment

Under the 2005 Code know as BAPCPA, a consumer debtor must pass the means test to qualify for Chapter 7 bankruptcy.  Chapter 7 allows a debtor to make no payments to unsecured creditors while keeping all exempt property.

What most consumers believe is that if you are under the median income for your area , you pass the means test, and you get to file under Chapter 7.   Yes and no.

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