Thoughts from a Maryland Bankruptcy Attorney
The "Means Test" is a test under the United States Bankruptcy Code to help debtors determine whether they can qualify to file under Chapter 7. Chapter 7 is a desirable chapter because it provides the most relief available under federal bankruptcy laws: most debts are discharged, no payments are required to unsecured debts, and the debtor is likely to keep most of his or her property.
Under the means test, the debtor compares their gross annual income against the state's median income for the number of people in the debtor's family. If the gross annual income is less than the applicable median income, the debtor will qualify for Chapter 7. The specific term is there is no "presumption of abuse."
To see the median income for your state click here:
Thoughts from a Baltimore Bankruptcy Lawyer
Ronald J. Drescher
Drescher & Associates, P.A
4 Reservoir Circle
Baltimore, MD 21208
Fax (410) 484-8120
Practicing in Maryland, Delaware, Virginia, Pennsylvania