If you’re thinking about bankruptcy, the timing of your filing can affect your case. There are certain scenarios when it’s better to wait before you file, so you can discharge more debts and keep more property. A bankruptcy lawyer at Groce & DeArmon can help you determine the best time to file. Today’s blog features some common reasons to postpone filing for bankruptcy.
You Moved to a New State With Good Exemptions
Each state has exemptions that debtors can use to keep as much of their property as possible. Every state lists different exemptions. If you’ve recently moved to a new state, the immunities may be better for you than the ones of your old state. However, enough time has to pass before you can take advantage of the exceptions in your new state. Consider waiting to file for bankruptcy until you establish permanent residency in the new state.
Related Post: Bankruptcy Exemptions in Missouri
You Started a Lower Paying Job
You must pass the means test to qualify for chapter 7 bankruptcy. This test reviews your average earnings over the six months before you file. It’ll be easier for you to pass the means test with a lower income. If you recently took a job for less money, your means test average income reduces each month that you wait to file for bankruptcy. So, in this situation, delaying your bankruptcy filing can help you pass the chapter 7 means test.
You Anticipate More Debt Soon
You can only wipe out debt that exists before you file. If you expect to take on medical debt for an upcoming surgery or credit card debt to repair an appliance in your home, it’s best to wait to file until after you incur that debt. Since you can only receive a chapter 7 discharge once every eight years, you don’t want to file right away even though you’re going through a hard time.
Related Post: What to Expect Before Filing for Bankruptcy in Missouri
Request a Consultation With a Bankruptcy Lawyer
The experienced lawyers at Groce & DeArmon specialize in chapter 7 and chapter 13 bankruptcy cases. If you’re faced with unaffordable debt, this is a strenuous burden. We can help you make a fresh start. You can request a free consultation on our website or call our law office at (417) 862-3706.