Bankruptcy Help St. Charles MO is accessible for all consumers through an attorney who understands the applicable laws. The state of Missouri utilizes the 2005 Bankruptcy Act to establish guidelines and stipulations for this legal action. Under this law, all consumers are required to attend credit counseling at least six months before they file a bankruptcy claim. In addition, the consumer completes the state-approved financial management course, while in bankruptcy.
Eligibility for Bankruptcy
The consumer’s income-to-debt ratio is analyzed to establish eligibility. The process begins by determining his or her average income for the six-month period prior to submitting a claim. The court performs a comparison of the average income and the Missouri median which is $44,306. Any consumer with an income that is below the state’s median are eligible for Chapter 7 bankruptcy. The consumers whose income exceeds $44,306 qualifies for Chapter 13.
The comparison determines whether the consumer can pay at least $100 per month over a five-year period. The valuation is based on payments made to creditors for unsecured debts; the value is calculated based on income after household expenses are deducted. Any consumer who can pay more than $100 each month for non-collateral based debts is not eligible for Chapter 7 bankruptcy. The laws require that they file for Chapter 13 to settle debts.
All Chapter 13 bankruptcy claims require a repayment plan proposal submitted by the consumer. He or she provides receipts showing that all priority-based debts are current and up-to-date. This includes child support, income tax, and alimony. Consumers who wish to discuss bankruptcy with an attorney should contact The Law Offices of Steven K. Brown.
What Consumers Need When Filing for Bankruptcy
To receive Bankruptcy Help St. Charles MO, the consumer provides itemized statements showing all sources of income for them and their spouse. They need bank statements for the last two years, proof of all household expenses, and two years of income tax returns. All deeds, titles, or certificates of ownership are needed for automobiles, assets, and real properties, including the primary residence. Mortgage or loan contracts are acceptable for financed properties. He or she additionally needs the most-recent statement for each debt owed including charge-offs and those in collections. Visit website for more details.
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