The New Bankruptcy Laws
You Can Still File For Bankruptcy
Suffolk County and Nassau County Chapter 7 Bankruptcy Lawyer
In October 2005, Congress made drastic revisions to the bankruptcy laws. These laws made the bankruptcy process more involved, and imposed many new obligations on both debtors and their attorneys. At the time, there was a great deal of mis-information in the press. This led many people to conclude that bankruptcy is no longer available. This is not true! Chapter 7 Bankruptcy is still very much available to Long Island consumers who need a fresh new financial start.
Most clients are not affected by bankruptcy reform
Although the laws have made bankruptcy much more complex than it ever was before, the fact is that most people who would have qualified for Chapter 7 bankruptcy under the old laws still qualify under the new laws. Those who don't qualify for Chapter 7 can usually file for Chapter 13 bankruptcy.
The Means Test
The crux of the new law is the Means Test. This is a comprehensive, very complex series of calculations that the federal government designed to ascertain whether someone qualifies for Chapter 7 filing. Under the old bankruptcy law, almost anyone could seek to eliminate their debts by filing Chapter 7. The new laws changed that.
The Means Test formula is designed to evaluate whether a debtor has the financial means to pay back a substantial portion of his or her debts. If the person does, then he or she may not be eligible to file Chapter 7 bankruptcy, and may instead have to file a payment plan bankruptcy under Chapter 13. If your income is below the New York State median income for a family of your particular size, then passing the Means Test is virtually automatic.
Our New York bankruptcy lawfirm is very experienced with every aspect of the Means Test. With most clients, we can quickly ascertain the likelihood of whether they will pass the means test. We will discuss this with you when you come in to meet with us for a free consultation. To obtain a definite answer, we provide a detailed computer analysis using special bankruptcy software. The Means Test has about 55 line items and many sub-lines.
In addition to using some of your actual income and expenses, the Means Test also uses data provided by Census tables and IRS tax tables for residents of New York.
The bankruptcy Means Test is so involved and complex, that we invite you to click here and take a look at the actual Means Test Form. But don't be intimidated; we prepare it for you.
We know all about the Means Test. We will prepare the Means Test for you
If you have serious debt problems, you should consider Chapter 7 bankruptcy. At the Long Island bankruptcy law office of Craig D. Robins, Esq., we can analyze your finances, prepare your Means Test, and tell you what your options are, within the context of federal and New York bankruptcy law. Please contact us today to arrange a free office consultation to discuss resolving your debt problems.
We help you with the new credit counseling requirement
Another obligation under the new bankruptcy law is that anyone filing for bankruptcy must undergo mandatory credit counseling prior to filing, and budget counseling after filing. This requirement is the result of the lobbying efforts of the banking industry. The actual counseling typically consists of a 30 minute telephone call with a not-for-profit, court-authorized credit counseling agency.
Virtually all legal commentators have deemed this part of the new bankruptcy law to be a failure, a nuisance, an unnecessary expense, and a waste of time. However, it remains to be the law and you cannot file without engaging in credit counseling.
Craig D. Robins, Esq. is very familiar with the credit counseling requirement. He has written articles about it, and he has engaged in bankruptcy litigation involving credit counseling issues in bankruptcy court. When you retain us to give you bankruptcy help, we will guide you with the bankruptcy counseling so that you can quickly and easily do it.
We are experts with the new bankruptcy law
Craig D. Robins, Esq. is an established and respected consumer bankruptcy attorney who has filed thousands of bankruptcies for consumers in Suffolk County, Nassau County and Queens. We know the new bankruptcy laws inside and out, and can provide you with a fair, knowledgeable assessment of how they apply to you. We have helped many hundreds of consumers use bankruptcy to eliminate debts under the new laws since they went into effect in 2005; we can help you, too.
Our practice is dedicated to helping individuals and families stop creditor harassment, find solutions to debt problems, and get a fresh new financial start through personal bankruptcy. Contact the Law Offices of Craig D. Robins, Esq. today. We will schedule an appointment to explain the bankruptcy reform laws and how they apply to your unique situation.
If you would like more information on the new bankruptcy laws or how they will affect debt management through bankruptcy, please make an appointment with Craig D. Robins, Esq., one of Long Island's leading consumer bankruptcy attorneys.