If you do not qualify for Chapter 7, you may qualify for a Chapter 13 Missouri bankruptcy. In Missouri, there are caps put on the amount of debt you are allowed to have if you want to file for Chapter 13. This debt limit is periodically adjusted.What are the types of bankruptcy in Missouri?
There are two main types of consumer bankruptcy in Missouri. The simplest and quickest form of bankruptcy is Chapter 7, also known as liquidation or straight bankruptcy. With Chapter 7, the court discharges your debt after a court-appointed trustee seizes some of your property and sells it to repay certain creditors.What happens to my debt after I file bankruptcy in Missouri?
Before you file for Missouri Chapter 7 bankruptcy, you should consider the fact that certain debts will remain after your bankruptcy filing. Under the law, the court will not discharge the following types of debts: In addition, you will be expected to continue to make payments on your mortgage and car loans.What is the means test for bankruptcy in Missouri?
To be able to file for Chapter 7 bankruptcy, you must pass what is known as the means test. The means test was implemented to prevent high-income earners from abusing the bankruptcy system. The means test in Missouri compares your recent income to the median income of similarly sized Missouri households.