In 2005, the requirements for Chapter 7 bankruptcy changed due to Bankruptcy Abuse Prevention and Consumer Protection Act. This law required debtors to receive credit counseling six months before filing for bankruptcy. 

According to the statute, an individual cannot file for Chapter 7 if the househould income is greater than the state's median income. The statutue also allows filers to receive state exemptions if they have been residing in the state for more than two years. 

If you or anyone you know has considered filing for Chapter 7, contact the Austin Chapter 7 bankruptcy lawyers of Slater Kennon LLP, at 512-338-1100.