My wife and I missed the October 17, 2005 deadline to file bankruptcy under the old bankruptcy laws in New York. I make $35,000 per year and my wife makes $12,000 working part time and we have about $32,000 in credit card debt. I understand there are new bankruptcy laws with more stringent requirements for filing for Chapter 7 bankruptcy. Would we be eligible? (NY)

It is true there are more stringent requirements to file for Chapter 7 under the new bankruptcy laws. New York Bankruptcy Law now requires those filing to first obtain a credit counseling certification prior to actually filing. New bankruptcy laws also stipulate one must now complete a financial management course after filing the case. However, for a household of two persons that earns below the median income in New York of $48,492, the “means test” formula would not be applied. Therefore “eligibility” for a Chapter 7 filing under those circumstances should not be problematic.

(Courtesy of Association of the Bar of the City of New York)