Filing for bankruptcy can help you relieve the pressure of mounting debt. Many individuals faced with these liabilities choose to pursue what is known as a Chapter 7 bankruptcy. However, not everyone is eligible for this type of filing.
If you happen to earn enough income and are able to pay your financial obligations, you will not be eligible for Chapter 7. Instead, you would file under Chapter 13. To determine whether you qualify for Chapter 7, the court will use what is known as the “Means Test.”