Legal Question in Bankruptcy in Utah

Chapter 7 income assement

I was told that I make too much money (debt to income) to file for a ch 7. My mo. payments are $1000 less than what I make, however, I owe about $10,000 of medical debt that I owe now. Therefore it is not showing as monthly debt. I am being told that I have to file a 13. I can not find any laws that show that you must not make a certain amount to file a 7. Will I be forced to file a 13?


Asked on 7/25/03, 4:01 pm

1 Answer from Attorneys
Alvin Lundgren Alvin R. Lundgren, L.C.

Re: Chapter 7 income assement

Whether you file 7 or 13 is based on your budget without the discharged debt. Thus if you have disposable income without paying medical and credit cards, etc, you will have to file chapter 13 and allocated that disposable amount to the trustee for the unsecured creditors.

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Answered on 7/25/03, 7:02 pm


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