Memphis Bankruptcy FAQs – Common Questions

To file bankruptcy in Memphis, you must prepare and submit required documents to the United States Bankruptcy Court for the Western District of Tennessee. Most individuals file either Chapter 7 or Chapter 13 bankruptcy depending on income and goals.

Learn more about how to file bankruptcy in Memphis.

You’ll typically need recent pay stubs, tax returns from the past two years, bank statements, a list of your debts and creditors, a list of your assets, and proof of identity. Your attorney will provide a complete checklist based on your situation, and the federal courts publish a general Bankruptcy Basics overview of the process.

The bankruptcy court filing fee is $338 for Chapter 7 and $313 for Chapter 13. Attorney fees vary based on case complexity.

See a full breakdown of bankruptcy cost in Memphis.

A full waiver of the filing fee is only available in Chapter 7 cases, for filers with income below 150% of the federal poverty guideline for their household size. Filers who don’t qualify for a waiver — including Chapter 13 filers — can request to pay the fee in installments; federal rules allow up to four payments, with the final one due within 120 days of filing. See the official fee schedule, and ask your attorney whether a waiver or installment plan fits your situation.

Chapter 7 eliminates unsecured debt in about 3–4 months, while Chapter 13 uses a 3–5 year repayment plan to resolve debts and protect assets.

Learn more about Chapter 7 bankruptcy in Memphis and Chapter 13 bankruptcy in Memphis.

Yes. Filing bankruptcy immediately stops wage garnishment through an automatic stay issued by the bankruptcy court.

Learn how to stop wage garnishment in Memphis.

Yes. Bankruptcy can immediately stop foreclosure. Chapter 13 is commonly used to catch up on missed mortgage payments.

Learn how to stop foreclosure in Memphis.

Not necessarily. Many Memphis homeowners keep their homes, especially in Chapter 13 cases or when equity is protected by exemptions.

In many cases, yes. Whether you keep your car depends on loan status, equity, and the type of bankruptcy filed. If you’re facing an active repossession, filing immediately triggers an automatic stay that stops it, and Chapter 13 lets you catch up on missed payments over time.

• Chapter 7: Approximately 3–4 months
• Chapter 13: 3–5 years

• Chapter 7: Up to 10 years
• Chapter 13: Up to 7 years

Commonly discharged debts include:

• Credit cards
• Medical bills
• Personal loans
• Payday loans

Generally non-dischargeable debts include:

• Child support and alimony
• Most student loans
• Certain taxes
• Criminal fines

Qualification depends on income, household size, and allowable expenses under the Chapter 7 means test.

See the current Tennessee bankruptcy income limits.

The means test compares your income to the Tennessee median and evaluates disposable income after allowable expenses.

To file Chapter 13 bankruptcy, your debts must fall within federal limits — currently less than $526,700 in unsecured debt and less than $1,580,125 in secured debt for cases filed between April 2025 and March 2028. These limits are adjusted every three years by the federal courts.

Yes, but bankruptcy law is complex. Many Memphis filers choose legal representation to avoid mistakes and protect assets. The U.S. Courts publish official guidance on filing without an attorney if you choose to proceed on your own.

Waiting periods depend on prior bankruptcy filings and the chapter previously filed.

Yes. Filing bankruptcy immediately stops collection lawsuits and creditor phone calls.

Yes. Medical bills are unsecured debt and are typically discharged in bankruptcy.

Yes. Credit card debt is commonly discharged in Chapter 7 or partially paid in Chapter 13.

The 341 meeting is a brief hearing where the trustee asks questions about your bankruptcy paperwork. The U.S. Courts’ overview of the bankruptcy process explains this step in more detail.

Employers are not notified unless wage garnishment is involved or court documents are sent to stop garnishment.

A spouse’s liability depends on joint debts and whether they file bankruptcy.

After filing:

• Creditors must stop collection
• A trustee reviews the case
• A discharge is issued if requirements are met

Memphis residents file bankruptcy in the United States Bankruptcy Court for the Western District of Tennessee, serving Shelby County.

Yes, bankruptcy filings are public records, but they are not commonly searched by employers or neighbors.

Bankruptcy is a personal financial decision based on debt, income, assets, and long-term goals.