"THE MEANS TEST" Bankruptcy Form 22A. Individual debtors filing for bankruptcy relief are required to complete Bankruptcy Form 22A (also known as the "Mean Test") which is a threshold requirement to qualify for Chapter 7 straight bankruptcy. A debtor must enter average monthly gross income (based on the last six months of income) and expense information and then make calculations using the information entered. The individual's current gross monthly income (before taxes or any other deductions are taken out) is first compared to the median income for the individual's state and family size as provided by the Census Bureau and the Internal Revenue Service (IRS). Download FORM 22A Here. If the gross monthly income is lower than the applicable median income published by the Census Bureau, no further information is required, and the individual passes the initial qualification test. If the debtor's median income is more than the median income for the state and family size, then additional calculations and expense deductions are allowed and required. In this case, a bankruptcy attorney should be consulted to complete the full Means Test if income is higher than median income. Individuals can still qualify for Chapter 7, but the full form is required to be completed. CLICK HERE FOR A QUICK REVIEW OF QUALIFYING FOR STRAIGHT BANKRUPTCY AND THE MEANS TEST (FOR FLORIDA RESIDENTS)

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"BANKRUPTCY BASICS" VIDEO SERIES. This nine (9) part video series produced by USCOURTS.GOV is an excellent source for basic information on bankruptcy. Watch the bankruptcy videos here.

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INNOVATIVE CONVENIENT ONLINE TOOLS. We embrace modern secure Internet technology and online tools that saves time and money. Examples of these tools include:

CASE EVALUATION AND CONSULTATION REQUEST FORM: A secure online consultation request and initial evaluation form. The form allows our clients to conveniently provide us with some initial specific financial information required so we can provide a more meaningful Free Initial Consultation.

MYCASEINFO (Secure Online Bankruptcy Application): Upon retaining the Firm, for Clients who desire to complete their bankruptcy application online, this service allows Clients to complete and submit their Bankruptcy Application (which is the more in-depth complete application) securely and conveniently from their home or office. Clients are provided a secure user name and password, information can be saved, and Clients can return to complete the application. We review the application and consult with our Clients if additional information is requested. The application is then securely downloaded directly into your file with our firm. This eliminates the older paper application and reduces costs of duplicate data entry, savings we can pass along to our Clients.

HOUSEHOLD GOODS INVENTORY FORM: As part of filing, the court requires Clients break out their personal property inventory (such as furniture, fixtures, and electronic equipment). This online form allows a secure and convient way to provide us the information required.

ONLINE CREDIT REPORT AUTHORIZATION AND CLIENT AUTHENTICATION. To assist and authorize our firm to pull your credit report, the client can now authenticate and authorize our firm to pull the credit report online securely and conveniently.

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*VALUE-ADDED SERVICES. These innovative services add value to your bankruptcy filing. These products and services are in addition to and go above and beyond mere bankruptcy petition preparation and filing.

MYHORIZON CREDIT SCORE PREDICTOR. This report is provided FREE with your credit report and predicts the affect of filing bankruptcy on your current credit score ONE (1) YEAR FROM YOUR BANKRUPTCY DISCHARGE DATE. The report assumes responsible credit management practices after bankruptcy is filed and is of course, only a prediction and not any sort of guaranty. The report is iinteresting and informative for Clients to see there is life after bankruptcy.

POST-DISCHARGE CREDIT REPORT EVALUATION AND DISPUTE SERVICE. As an alternative to our existing post-discharge services, this service pulls your credit report 45 - 60 days after discharge to review your credit report to make sure all discharged debts are being reported correctly by the credit reporting agencies. If an account is not being reported correctly, a dispute package is created for the Client's signature and submission to the credit reporting agency. This service is valuable and important to make sure your credit score and fresh start can begin as soon as possible after discharge in the bankruptcy case.

CLIENT ACCESS TO ALL DUE DILIGENCE REPORTS. As part of modern bankruptcy practice, attorneys will obtain various due diligence reports. The most obvious is a credit report, but other materials may be required for a complete and accurate bankruptcy filing. Reports such as real estate appraisals, vehicle evaluations, and others. We provide a copy of your credit report. But now, if the Client elects this service, all due diligence reports will be available to the Client for download and review.

* The above value-added services are made available through our firm and are provided by our affiliated business partners that provide credit reports and due diligence services to our bankruptcy clients required for smooth and accurate modern bankruptcy filing.

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THE PROCESS & REQUIREMENT OF FULL DISCLOSURE. To insure a smooth, accurate and successful bankruptcy, your Petition, Schedules, Statement of Financial Affairs, and supporting documentation must be prepared completely and accurately. Full and candid disclosure of your financial affairs is mandatory under federal law (all assets, all debts, and all required financial transaction disclosures).

BAPCPA Requirements - Under 2005 Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) individuals are required to qualify for Chapter 7 by passing the "Means Test" and required to complete two credit counseling classes (one class before filing the Petition and a second class before a discharge can be obtained). These classes are available Online or via telephone.

Qualifying For Chapter 7 Under The "Means Test" - Part I of the Means Test compares your gross income (calculated based on six (6) months income immediately prior to the petition filing date) against the IRS Median Income for the same size family in your county and state. If your annualized gross income is less than the IRS Median Income you qualify for Chapter 7 under Part I of the Means Test. If your annualized Gross Income is higher than the IRS Median Income, the Part II of the Means Test is required and you should consult an attorney. In most cases, you can still qualify for Chapter 7, but there is additional analysis and information is required. Completing Part II of the Means Test can be complicated. After allowed deductions are taken, if your disposable income under Part II of the Means Test falls within certain limits, you can qualify for Chapter 7.

Pre-Filing Credit Counseling Course - A pre-filing credit counseling course must be completed prior to filing your Chapter 7 Petition. The course must be completed through a provider authorized by the bankruptcy court in your district. These classes may be completed online or over the telephone, and a certificate of completion is e-mailed to your attorney for filing with the Court.

341 Meeting of Creditors - You will be required to attend a "meeting of the creditors" (also called a "341 Hearing"). The meeting allows the trustee to examine you under oath about your bankruptcy Petition, Schedules, and Supporting Documents and to ask you questions about your assets, liabilities, financial affairs, and other matters pertinent to your bankruptcy. Creditors may also appear and ask you questions about your petition and schedules. In a typical Chapter 7, the 341 Meeting is the only time you will need to appear before the trustee or the bankruptcy court.

Pre-Discharge Debtor Education Course - After your petition is filed, you must complete the second debtor education course before the Court will grant your discharge.

1. Florida Constitutional Exemption For Florida Homestead Property. In Florida, the equity in one's qualifying Florida homestead property is entirely exempt from legal process, with certain limitations. Limitations on Florida homestead property equity were introduced as part of BAPCPA. These restrictions apply to those who have sold property in other states and then moved to Flordia within the past 3 years, purchased homestead property, filed bankruptcy and seek to exempt the full equity value in their new Florida Homestead. In a nutshell, the limitations on Florida homestead under BAPCPA attempts to stop people from forum shopping (migrating to Florida) to file their bankruptcy in order to exempt assets that would not be exempt under the laws of the State where they moved to Florida from.
2. Up to $1,000 in Value in Any Personal Property Under Article X, State Constititution Florida residents may exempt up to $1,000 in value of any personal property under Article X of the State Constitution. Note: The $1,000 limit of this exemption has not changed since ratification of the State Constitution when Florida was primarily an agricultural society.
3. Up to $1,000 Value in One Automobile Under Fla. Stat. Section 222.22(1). Florida residents may exempt up to $1,000 in equity of one automobile under Florida Statutes.
4. Up to $4,000 Value in Any Personal Property Under Fla. Stat. Section 222.22(4). If you do not claim the Florida Homestead exemption, Florida residents may exempt up to an additional $4,000 in equity value of any personal property.This exemption is often called the "Wild Card" Exemption and its availability is restricted by applicable case law and by the language of the statute itself. You should consult an attorney regarding availability of the Wild Card exemption to your case, this is particularly true if you own a Florida homestead (there is recent case law governing this).
5. Other Florida Statutory Exemptions:
6. Common Law Exemptions: Under common law, individuals may be able to exempt property held as "tenants by the entireties" referred to as TBE Property. In Florida, only married couples may hold property as TBE. Thus, there are exceptions to availability of this exemption. An attorney should be consulted if you believe you have TBE Property that can be exempted from your bankruptcy.
7. Federal Exemptions Available to Florida Residents. Florida has opted out of Federal Bankruptcy Exemptions (meaning Federal Exemptions are not available to Florida Residents), although there are some exceptions involving Federal Exemptions available under Section 522(d)(10), Bankruptcy Code. These federal exemptions remain available to Florida Residents.
8. RELATED TOPIC: HOW TO VALUE yOUR ASSETS AT REPLACEMENT COST: See Bankruptcy Disclosures for information on valuation of your property. Appraisal of Personal Property? If you own substantial assets you may want to consider hiring an independent appraiser to value your assets. This could save you money and insure a smooth and accurate bankruptcy filing free of issues involving valuations.

NOTE A: Married Couples may double the above exemptions, with some limited exceptions.

NOTE B: Value of the exemption is the actual equity in an asset. Thus, if a car is valued at $5,000, has a loan balance of $4,500, then there is $500 in value or equity to be exempted. if the loan balance is more than the asset is worth, there is no equity in the asset. In these situations, you should consult an attorney regarding the decision to claim any available exemption. There may be reasons for or against claiming exemptions in these situations.

NOTE C: Any value in excess of the allowed exemption is "non-exempt" and is available for the trustee to liquidate. Depending on the type of asset, the non-exempt value, and other factors, the trustee may or may not seek liquidation of such asset, but it is important to understand that in a Chapter 7 the trustee always has the right to liquidate any non-exempt property regardless of how much or how little non-exempt value there actually is in the asset.

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• Submit Your Free Evaluation Request Form (Secure Online Form)
• Schedule and Complete Your Free Initial Consultation - We are available to provide your consultation in person or by telephone.
• Receive Yoru Initial Bankruptcy Disclosures and Pre-Consultation Agreement. These documents are provided to you at your initial Free Consultation.

   

  Initial Bankruptcy Disclosures (Available Online). These required disclosures are available for download and review via our website. A copy of these dislcosures will also be provided to you at your initial consultation.

  Pre-Consultation Agreement (Available Online). Per changes in bankruptcy laws under BAPCPA, we are required to obtain a pre-consultation agreement that sets out the terms and conditions of the FREE consultation. Our Initial Consultation Agreement is available for review on our website and download in PDF format. We will provide a Pre-Consultation Agreement to you at your initial consultation. We are required to obtain and keep a copy of the PC Agreement in our files.

Second Step: If you elect to retain our firm to assist you in filing bankruptcy, we will enter a formal attorney-client agreement for the bankruptcy, and provide you with specific instructions on how to complete the required application and what documents are needed:

• Attorney-Client Agreement (Our Standard Chapter 7 Form is Available For Download in PDF Format from our website). To Retain our firm for your bankruptcy requires a signed attorney-client agreement for legal services. The attorney-client agreement sets forth the flat fee charge for the bankruptcy, what is covered by our flat fee, plus the anticipated costs for bankruptcy, and what additional services are not included in the flat fee. for your review, we make a blank version of our Chapter 7 Attorney Client Agreement available for download or review in PDF format.
• Supporting Documents: Each Client's supporting documents will be different, but the following are the typical documents required (if applicable):

  • Six (6) months paycheck stubs.
  • Six (6) months bank statements (each bank account).
  • Three (3) years personal tax returns
  • Recent credit card statements.
  • Copy of recent utility, telephone, internet, and other household bills.
  • Copy of Residential Lease (if applicable).
  • Copy of Financing Agreement for Car Loan (stored in the glove compartment of the vehicle).
  • Information on Your Real Property Owned (Copies of deed and mortgage, if available).
  • Copies of any Court Documents the client has received (foreclosure actions, creditor lawsuits, garnishments, etc).
  • Copy of divorce decree or marital settlement agreement (if applicable).
  • Copy of child support obligations, alimony, or other domestic support documents (if applicable).

• Complete Your Chapter 7 Bankruptcy Application Online or the Paper Application Form. You can complete the application securely and conveniently online with MYCASEINFO. We also have the paper application if desired.
• Complete Your Household Inventory Online or the Paper Form. Can be completed securely as part of your MYCASEINFO application, or via our secure PPI form, or via paper form).
• Authorize and Authenticate Your Credit Report. (Can be completed in-office or via secure online link). Your Credit Report will also include, at no additional charge, the MYHORiZON Predictor ofbankruptcy on your credit score one year from filing.
• COMPLETE YOUR FIRST PRE-FILING CREDIT COUNSELING COURSE (Certificate of Completion E-Mailed to Us direct from Course Provider).

   

  • NOTE: As part of our standard service, we provide you with written instructions on what to do if any creditors contact you after you have retained the firm but before the petition is filed. After we are retained, we will also provide you with a form for documenting any continuing collection calls after notice to the creditor that you have retained legal counsel. This is part of our commitment to defend and represent our clients during the entire bankruptcy process.

• We Prepare Your Petition and Schedules - We will prepare the initial draft of the Petition and all Schedules after receipt of the required supporting documents, bankruptcy application, household goods inventory, and credit report authentication/authorization.
• Client Review Meeting: Meeting with Client to review the Draft Petition and Schedules, confirm any outstanding requirements and documents, set time lines for receipt of outstanding documents, and make any amendments required to make the Petition and Schedules accurate and complete.
• Client Signing Meeting: Meeting with Client to sign the FINAL version of the Petition an Schedules for filing.
• COMPLETE YOUR SECOND CREDIT COUNSELING COURSE (Certificate of Completion E-Mailed to Us direct from Course Provider). Required prior a discharge being obtained.

Third/Final Step: Attend the 341 Meeting and address any outstanding requirements post-341 Meeting.

• Attend 341 Meeting of Creditors:
• Address any Additional Requirements, if any: ReAffirmation Agreements; Filing or Providing Trustee with any additional requirements or documents from 341 Meeting of Creditors (including any non-exempt property equity buy back or promissory note).
• Obtain Discharge
• Post-Discharge Credit Report Verification
• Complete Any Outstanding Requirements for Case Closing.

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DAY 1 - WE FILE YOUR PETITION: Bankruptcy is Federal Law. Your petition will be filed electronically via the Court's ECF System. We provide you with your case number and instructions upon filing. Upon filing you are immediately under protection of the Automatic Stay.

After filing your petition, you receive a document package:

1. Copy of your signed petition
2. Instructions on what to do and to contact us if any creditors/collection agencies contact you after we have filed your petition, so we can take appropriate action to defend your rights against collection agencies violating the Automatic Stay.
3. Copy of the Notice of 341 Meeting (date, time and location);
4. Driving directions, a printed map, parking instructions for the 341 Meeting, and instructions on what identification is needed at the 341 hearing (driver license and social security card);
5. An Information letter "what to expect at your 341 Hearing" so our clients can feel comfortable. We realize going to any court house can be stressful for clients, so we arrange to meet our clients early the day of the hearing to go over the 341 meeting, answer any final questions, and try to help put you at ease about your 341 meeting.

45 - 60 DAYS AFTER FILING PETITION: Attend 341 Meeting of Creditors

COMPLETE YOUR SECOND CREDIT COUNSELING COURSE (Certificate of Completion E-Mailed to Us direct from Course Provider).

90 - 120 DAYS AFTER FILING PETITION: Receive Discharge.

45 - 60 DAYS AFTER DISCHARGE OBTAINED: Value-Added Post-Discharge Credit Report Verification Service: Approximately 45 days after discharge, if you select our automatic post-discharge credit report verification and dispute package. We will check your credit to insure accounts are shown as they should be and if not, we will prepare and mail you a dispute package for signing and pre-addressed to all three credit reporting agencies instructing them to make the corrections and report your discharged debts correctly.

120 - 150 DAYS AFTER FILING PETITION: The Case will be closed (unless there are outstanding requirements to be met, such as a promissory note with the trustee for repurchase of non-exempt value (equity) in personal property.

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BENEFITS OF CHAPTER 7 - Chapter 7 provides immediate benefits to individuals with unsecured dischargeable debts (such as credit cards, medical bills, personal loans, etc.) and who cannot pay their monthly obligations.

• An immediate stop to harrassing collection calls and letters.
• Elimination of most unsecured personal debts.
• A fresh start financial start free of foreclosure deficiency judgments, credit card debts, and free of the constant worry and stress of collections.
• Protection of the bankruptcy court from garnishments, collection activities, deficiency judgments, and more.

DISCLOSURE (DEBT RELIEF AGENCY). Law Firms, including The Gilmore Law Firm, P.A., are designated as "debt relief agencies" by the Bankruptcy Code. Thus, we assist people obtain debt relief by filing bankruptcy. WE ARE NOT A CREDIT REPAIR OR DEBT CONSOLIDATION COMPANY.

DISCLAIMER (WEBSITE INFORMATION IS NOT LEGAL ADVICE): The information you obtain from this website is for general information purposes only and is not legal advice and should not be interpreted to be legal advice. You should consult an attorney for legal advice regarding your individual situation. We invite you to contact us and we welcome your calls, letters and e-mail. However, contacting us or communicating with us through our website does not create an attorney-client relationship. No attorney-client relationship is intended, created, or will exist until a written agreement for legal services is entered between you and The Gilmore Law Firm, P.A. All Free Bankruptcy Consultations are governed by our separate "Consultation Agreement" and the terms of use of this website. By requesting a free consultation, you acknowledge that you have read, understand, and agree to the terms of our Consultation Agreement and the terms of use for this website, as may be amended from time to time.

DISCLAIMER - HIRING OF A LAWYER: The hiring of an attorney is an important decision that should not be based solely upon advertisements. Before you decide, ask us to send you free written information about our qualifications and experience.