It occurs to me that this is a common question that is asked every day in Minnesota by hundreds of people. In practice, the amount of debt that is “enough” to file a Chapter 7 Bankruptcy will be different for everyone if you think about it. For example, if your income is limited to $675.00 per month in Social Security Disability and you have $5,000.00 in credit card debt, that $5,000.00 may not seem like a lot to you but it is for the person who is making $675.00 per month in Social Security Disability. Plus, what happens if this creditor gets a judgment against this person and threatens to freeze this individual’s bank account?
Now if you are earning $75,000.00 per year and you are single with no other debt, $5,000.00 in credit card debt is likely very manageable. But, what if I told you this same person has 150k in student loan debt, 2 children, and has 30k in credit card debt? Now, this person filing Chapter 7 Bankruptcy doesn’t seem so silly right? All of this is relative. Whether you have enough debt to file Chapter 7 Bankruptcy depends on your overall financial picture. Chances are, if you are wondering about this question, you have enough. Why? Because there is something that caused you to asked this question to begin with. If you are under stress and forced to choose between protecting your family or creditors, chances are you have enough debt to file a Chapter 7 Bankruptcy.
At Kain & Scott, we have free strategy sessions where we dig into this exact question. Do you have enough debt to consider filing Chapter 7 Bankruptcy? Sometimes the answer is yes, and other times it is no.
Call NOw for a free strategy session with a MN Bankruptcy Lawyer from Kain & Scott
When the time is right, or when you are ready, reach out to Minnesota’s LARGEST bankruptcy law firm at www.kainscott.com. You will be glad you did!
