Tampa Bankruptcy Attorneys Can Help You Understand the New Bankruptcy Laws

If you are a distressed debtor considering filing for bankruptcy, you may have heard about or done research on the new set of bankruptcy laws that were enacted in 2005. However, as any Tampa bankruptcy attorneys will tell you, many people are confused about exactly what these laws mean for individuals and families struggling with their finances.

These laws were enacted on the federal level, meaning they apply to every state, including Florida. However, popular to contrary belief, Tampa bankruptcy attorneys can reassure you that most people will not be affected by the changes to these laws. The most noticeable difference in the new bankruptcy laws is that filers with higher incomes will not be able to file for Chapter 7 bankruptcy, and will instead have to file for Chapter 13 bankruptcy and repay at least some of their debt. Tampa bankruptcy attorneys can give you more information, but here are some more important key points:

• In order to file for Chapter 7 bankruptcy, you will have to pass the "means" test, which compares your income against your state's median income. For instance, if your income is below Florida's median income, you would be able to file for Chapter 7 bankruptcy.

• On the other hand, if your income is higher than the state median, and the means test finds that you can afford to pay at least $100 a month towards repaying your debt, you would be required to file for Chapter 13 bankruptcy and repay at least part of your debt.

• Furthermore, the new law stipulates that before they can file for bankruptcy and erase their debts, most filers will have to pay for and receive government-approved financial management education.

To learn more about these law changes and what they might mean for you as you consider filing for bankruptcy, contact the Tampa bankruptcy attorneys at Yesner & Boss, P.L. today to set up your free consultation.