Am I Eligible

Am I Eligible For Bankruptcy

Determining eligibility for Chapter 7 or Chapter 13 bankruptcy in Utah involves assessing your income, debts, and assets. Beehive Advocates, based in Salt Lake City, offers personalized evaluations to guide you through this process, ensuring you understand your options and make informed decisions about your financial future. 

Filing for bankruptcy stops creditor harassment, stops wage garnishment, and will stop repossession and foreclosure. During the initial consultation, our attorneys will ask questions regarding your:

There are eligibility requirements to file for Chapter 7 bankruptcy, and, depending on your situation, you may benefit from filing Chapter 13 bankruptcy instead. Our firm will take the time to understand your needs and help determine the best course of action under your unique circumstances.

Chapter 7 Bankruptcy Eligibility

Chapter 7 bankruptcy, often referred to as "liquidation bankruptcy," allows individuals to discharge most unsecured debts, such as credit card balances, medical bills, and personal loans. To qualify, you must pass the means test, which compares your income to the median income for households of your size in Utah. If your income is below the median, you typically qualify automatically. If it exceeds the median, additional calculations determine whether you still qualify based on allowable expenses and financial obligations.

This type of bankruptcy is best suited for individuals with limited disposable income who cannot afford to repay their debts. However, it may require the liquidation of certain non-exempt assets, such as valuable property or luxury items, to pay off creditors. Fortunately, Utah bankruptcy exemptions allow filers to keep essential assets, including a portion of home equity, vehicles, and personal belongings.


Chapter 13 Bankruptcy Eligibility

Unlike Chapter 7, Chapter 13 bankruptcy is designed for individuals with a steady income who can repay a portion of their debts through a structured repayment plan lasting three to five years. This option is ideal for those who do not qualify for Chapter 7 or who wish to protect valuable assets, such as a home facing foreclosure or a car at risk of repossession.

To be eligible for Chapter 13, you must have a reliable source of income and your total secured and unsecured debts must not exceed certain limits set by federal bankruptcy law. This option allows you to restructure debts while keeping your property, making it a good choice for homeowners or individuals with assets they want to protect.


Why Choose Beehive Advocates?

Filing for bankruptcy can be complex, and every financial situation is unique. The experienced attorneys at Beehive Advocates will evaluate your financial standing, guide you through the process, and ensure your bankruptcy petition is accurate and complete. Their goal is to help you regain control of your finances, reduce stress, and work toward a fresh financial start.

If you’re considering bankruptcy, consulting with a professional can help determine the best path forward. Contact Beehive Advocates in Salt Lake City to discuss your options and take the first step toward financial freedom.