Am I eligible to file chapter 7 in Nevada?

To determine if you are eligible to file chapter 7 in Nevada, you must look at your income. There are actually two different tests you can use to determine if you are eligible to file a chapter 7:

• The first test involves comparing your income to the median income in Nevada. If your income is below the median income within the state, then you are eligible to file a chapter 7 bankruptcy
• If your income is above the median, this doesn't mean you are out of luck. A means test is also used. In this test, you must list all of your sources of income, including your paycheck, any investment income or any other regular income you receive from various sources. You must also list your required monthly expenses and the amount of the debt you owe. The monthly expenses you must pay is subtracted from your income to determine how much is left over. If there is enough left over for you to make payments of $100 or 25 percent of your income towards your debts, then you are not eligible for chapter 7. If there is not enough left over, then you can be eligible for chapter 7

If you are not eligible for chapter 7, you'll instead have to file a chapter 13. A chapter 13 still provides you with relief, however it doesn't result in the sale of any of your assets or the discharge of your debts like a chapter 7 does. Instead, it involves renegotiating debts and entering into a 3-5 year repayment agreement.

To get help determining if you qualify for chapter 7 based on your specific situation, you should make an appointment with a bankruptcy attorney.