In order to file chapter 13 bankruptcy in NYC an individual must meet specific qualifications laid out by the state of New York. Many individuals file for chapter 13 bankruptcy when they do not qualify for a chapter 7 filing. Disqualifications for chapter 7 bankruptcy include:
There are also debt limits that determine an individual’s eligibility for filing for chapter 13. To qualify for chapter 13, the amount of debt of an individual, even if they are self-employed or operating an unincorporated business, cannot have:
If you are a married couple you can’t double these limits but on the advice of your attorney, you may be able to file two Chapter 13 cases to further protect your family.
Lastly, to qualify for chapter 13 bankruptcy your monthly earnings must exceed your monthly expenses or you will need a third party to help pay for your case. This ensures the court you are financially capable of making the monthly payments proposed in your repayment plan.