Written by the Upsolve Team.
Updated October 1, 2020
South Dakota is most famous for its National Monuments, its National Forests, and its roadside attractions. However, few South Dakotans build their lives in the Mount Rushmore State because of these treasures. They call South Dakota “home” because it’s a wonderful place to raise a family and live a low-stress life. Unfortunately, it can be difficult to achieve a peaceful life on the prairie when your family is struggling to make ends meet every month. If you are experiencing a rough time financially, know that there are solutions available that can help you get back to the low-stress existence you long for. Among the most effective debt relief options available isChapter 7 bankruptcy. This legal resource isavailable to low-income households that pass the bankruptcy Means Test in South Dakota. The results of this test confirm for the Court that a filer can’t pay their debts over time, even while protected by the South Dakota Bankruptcy Court, given their income, expenses, and number of household members, making Chapter 7 relief the only path towards their fresh start.
South Dakota Median Income Levels
South Dakota Median Income Standards for Means Test for Cases Filed On or After May 1, 2021
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Discharge in Bankruptcy for South Dakota
The most significant benefit of filing for Chapter 7 is getting a South Dakota bankruptcy discharge in as little as 90 days. In a nutshell, the discharge erases all eligible debts upon the completion of the Chapter 7 bankruptcy process. As an added benefit, most low income families who choose to file for bankruptcy are generally allowed tokeep most or all of their property safe from creditors. This combination of erasing your debts while maintaining ownership of your property can allow your family to make a significant step forward toward financial health and wellbeing. Helpfully, if your situation is pretty uncomplicated, this process is so straightforward that you should be able to file by yourself, provided you are careful tofollow all directions and meet all requirements for obtaining South Dakota bankruptcy relief.
South Dakota Means Test Calculator
There is a straightforward way to explore whether you are eligible to file your South Dakota bankruptcy as a Chapter 7 case. You can use a freeMeans Test calculator application to compare your household size, income, and expenses to the Chapter 7 Means Test limits imposed by the Court. It’s important to use a South Dakota Means Test calculator because every state considers different expense amounts as reasonable when evaluating Chapter 7 bankruptcy eligibility. You should also take care to only use a South Dakota Means Test calculator that is up-to-date. South Dakota's eligibility requirements evolve over time and not every online Means Test calculator is regularly updated to reflect these changes. However, you can use the state-specific calculators provided by thelegal aid nonprofit organization Upsolve, as these are always current. This organization provides all-around bankruptcy legal aid to low-income filers. It also helps those who don’t meet certain income thresholds finding attorneys whose services meet their needs.
What Happens if I Fail the Means Test for South Dakota?
If you discover that your household doesn’t meet the requirements set by the Chapter 7 Means Test, don’t lose hope of achieving a low-stress life in the near future. Numerous effective Chapter 7 alternatives may work well for your family. In addition to other forms ofSouth Dakota bankruptcy, anexperienced attorney may be able to help you explore debt repayment alternatives, like debt payment modification plans. It’s important to understand that speaking with an experienced bankruptcy attorney does not commit you to file legal action or taking any other action that you don't want to take. Many attorneys offer free consultations so that potential clients can have their questions answered before committing to a plan of action. Solutions to your family's financial woes are available. You may simply need to get creative about exploring alternatives to filing for Chapter 7 bankruptcy at this time, especially after a lawyer reviews the results of your bankruptcy Means Test in South Dakota and confirms that you didn’t miss anything that would help you pass it.