If you have overwhelming debt or financial obligations, it may be time to file bankruptcy. If you’re not sure how to file for bankruptcy or whether it’s right for you, a personal bankruptcy lawyer can help you.

When to Consider Bankruptcy

Bankruptcy may be your best course of action if you:

  • Have difficulty keeping up with debt payments
  • Can’t seem to pay off debt balances, no matter how hard you try
  • Have lots of high-interest debt
  • Are facing a possible home foreclosure or other loss of personal property

If any of these sound like your situation, talking to a Dallas bankruptcy attorney will be the best place to start. We can help you determine if bankruptcy is right for you.

Choose the Type of Bankruptcy

Before filing bankruptcy, you’ll need to choose the right type for your situation. Consumers have two types of bankruptcy options: Chapter 7 and Chapter 13.

Chapter 7

Chapter 7 bankruptcy is intended to completely eliminate certain unsecured debts, such as credit card debt or medical bills.

Note that getting debts discharged may require liquidating some of your personal assets, and even then, not all types of debt are covered. That said, Chapter 7 can be a powerful way to get a fresh start.

Chapter 13

Chapter 13 bankruptcy allows you to reorganize your debt and make payments over the course of three to five years. The idea is to allow you to get caught up on your financial obligations without outright forgiving the debt entirely.

Do You Qualify for Bankruptcy?

To file for bankruptcy, you’ll first need to meet certain eligibility requirements.

Means Test

To qualify for Chapter 7 bankruptcy, you’ll need to pass a “Means Test,” which will determine if you have the financial means to meet your current obligations. Passing the means test indicates that you can’t make a meaningful impact on your existing debt.


Some situations may limit your eligibility, such as if you have already filed bankruptcy in the past. Typically, you’ll have to wait a period of time or pay enough of your previous obligations in order to qualify if this is the case.

Other requirements

Other situations, such as residence requirements, may also limit your eligibility. The best way to find out if you’re eligible is to talk to a personal bankruptcy lawyer.

Get Started with a Dallas Bankruptcy Attorney

To learn more about how to file for bankruptcy and to get started with the process, you’ll want to contact a Dallas bankruptcy attorney. At your initial consultation, bring the following information:

  • Recent bills from each of your creditors
  • Collection letters
  • Court documents
  • Notices of property repossession, foreclosure, etc.
  • Financial information, including pay stubs and tax documents
  • Proof of ID

At the Law Offices of Bill F. Payne, P.C., we’ll help you determine whether bankruptcy is the best option for you, find out if you’re eligible, and get you started on the process. Contact us to schedule a free consultation.