Chapter 7? Chapter 13? The answer depends on your income, your assets, and your goals. This quiz walks you through the key decision points using Illinois exemption rules and median income thresholds to recommend the right path.
LakelawYour Financial Lifesaver
Which Chapter Is Right for Me?
Answer a few questions to get a preliminary sense of whether Chapter 7 or Chapter 13 may be the better fit for your situation.
📋 Prior Filing
💰 Income
🏠 Assets
📑 Debts
⚖ Results
Prior Bankruptcy Discharge
Have you ever received a bankruptcy discharge?
Which chapter?
When did you file the prior case?
The filing date, not the discharge date — waiting periods run from filing to filing.
Approximately what percentage of unsecured claims did your Chapter 13 plan pay?
Income Level
Is your household income above or below the Illinois median for your household size?
Tip: The means test compares your household’s current monthly income (averaged over the 6 months before filing) against the Illinois median for your household size. If you’re below the median, you pass automatically.
Try our Means Test Calculator →
Your Assets
How much equity do you have in your home (value minus all mortgages and liens)?
Tip: Even if your equity exceeds the exemption, the trustee may not pursue it after accounting for costs of sale and administration. Also, if your home is titled as tenancy by the entirety and debts are individual, the entire home may be protected regardless of equity.
Try our Liquidation Calculator →
Do you have significant equity in vehicles (above $3,600 per vehicle)?
The 2026 Illinois motor vehicle exemption is $3,600 per vehicle. Equity = value minus loan balance.
Do you have significant value in other non-exempt assets (stocks, crypto, jewelry, collectibles, cash savings beyond what’s needed for support)?
Retirement accounts are exempt. 401(k)s, 403(b)s, pensions, traditional and Roth IRAs (up to ~$1.7M) are fully protected in both Chapter 7 and Chapter 13. Do not include retirement savings when assessing non-exempt assets.
Do you expect to receive an inheritance, life insurance payout, or divorce settlement within the next 6 months?
Your Debt Situation
Are you behind on mortgage or car payments that you want to catch up on?
Do you have secured debts (car loans, furniture loans) that you’d like to restructure?
Do you owe significant priority or nondischargeable debts (back taxes, student loans, child support, alimony)?
Is keeping specific property (home, car, business assets) a top priority even if it means a longer repayment plan?
