Expert: Terry Leeders - 6/3/2009

Question
Hi Terry. We reside in IL and my fiancee is considering Chapter 7 but his income level($48,000) is right at the max level to qualify. If you include my contribution to the monthly expenses, apx. $1500 per month, it makes him ineligible. My question is would it be fraud if I were to move out temporarily and totally separate our finances(we have a joint checking acct from which all the bills are paid) so he could qualify for Chapter 7?

Answer
You can, assuming you are doing it for reasons other than just to 'pass' the means test.  IT can be possible to pass the means test for chapter 7, even if you are over the median income level.  Worst case, he can go into a chapter 13 to pay back a small portion of the debts, based on that means test.  Contact me for a free consultation, and we'll be happy to review all options with you both.