ABA Family Legal Guide

Consumer Bankruptcy

Introduction to Bankruptcy

The Process of Filing for Bankruptcy

Can anyone file for bankruptcy?

Yes, assuming you have completed the necessary steps beforehand. There are restrictions on filing for Chapter 7 bankruptcy, but these restrictions will not prevent you from being eligible for Chapter 13. Under the updated law, an individual debtor who earns more than the median income in his or her state may not be eligible to file a Chapter 7 case. (You can find more information about the differences between Chapter 7 and Chapter 13 bankruptcy later in this chapter.)

Federal law protects your right to file for bankruptcy. For example, you cannot contract away your right to file for bankruptcy relief. Also, you cannot be fired from your job solely because you filed for bankruptcy.