Minneapolis Chapter 13 Bankruptcy Means Test

While there are specific eligibility requirements for filing a Chapter 13 bankruptcy, the Minneapolis Chapter 13 Bankruptcy Means Test is primarily used to determine the length of the repayment plan. The repayment plan is either three years or five years, depending on your ability to repay your debt. Working with an experienced Chapter 13 bankruptcy lawyer can help you understand how the means test applies to your situation and what options are available to you.

How the Means Test Works

The means test will reveal how much disposable income you have to repay debt. Chapter 13 trustees use the means test to help determine how much your unsecured creditors receive through the bankruptcy. A Supreme Court ruling in 2010 made it clear that the means test is only a starting point.

Factors Considered by the Trustee

The trustee considers other factors, including:

• Loss of employment

• Reductions in income

• One-time payments received prior to filing

• Increases in allowed expenses

Expense Calculations

There are specific expenses that can and cannot be used as part of the Chapter 13 bankruptcy means test calculation. An experienced Minnesota bankruptcy lawyer can provide the guidance needed to receive the maximum benefit of a Chapter 13 bankruptcy. It is important that you make a fully informed decision when considering bankruptcy.

Free Consultations in Minneapolis and St. Paul

Our bankruptcy lawyers are located in four convenient locations throughout the Minneapolis and St. Paul communities—in Minneapolis, St. Paul, Blaine, and Brooklyn Park—and will meet with you free of charge to discuss how Chapter 13 bankruptcy can help you.

Be Prepared for the Minneapolis Chapter 13 Bankruptcy Means Test

If you are considering bankruptcy, it is important to understand how the Minneapolis Chapter 13 Bankruptcy Means Test applies to your situation. Our attorneys will guide you through the means test, explain your repayment options, and ensure you have the information needed to make the best financial decision for your future.

Contact us today or visit one of our four office locations in Minneapolis, St. Paul, Blaine, or Brooklyn Park for a free consultation.