Can You File for Bankruptcy in Philadelphia, PA If You are Unemployed?

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At Sadek Bankruptcy Law Offices, we realize that every situation is different. Our debt relief lawyers will take the time to learn about your situation and your goals. Our objective is to explain your legal options and offer the best debt relief strategy for you in the most compassionate and friendly manner possible. Call 24/7 to schedule your meeting with a lawyer.


Our office understands the financial stress our clients endure. Therefore, in addition to reasonable legal fees, we offer a payment plan to all of our valued clients to make quality legal services most affordable.


In addition to our primary law office in Center City, Philadelphia, we also have law offices throughout the Greater Philadelphia, Pennsylvania Area and in New Jersey. Our branch offices have contributed to making us the #1 Bankruptcy Filer and debt relief firm in the Greater Philadelphia area. Our goal is to have a convenient location within 20 minutes of where our clients work or reside.

Can You File for Bankruptcy in Philadelphia, PA If You are Unemployed?

Bankruptcy and Unemployment

When the COVID pandemic struck in 2020, bankruptcy filings dropped by about 30%. Experts attribute this decline to stimulus checks and financial support from the government. However, the number of people seeking bankruptcy just two years later is increasing once again.

Bankruptcy offers a fresh start, but it’s not an available option for everyone. If you’re interested in it, you might wonder if you can file if you’re unemployed.

Talking to a bankruptcy attorney in Philadelphia is the best way to receive personalized advice. Still, you should know that being unemployed doesn’t eliminate your ability to file for bankruptcy.

Here is a guide to help you learn more about bankruptcy for unemployed individuals.

Factors That Determine Eligibility

U.S. citizens have the legal right to file for bankruptcy if they need financial relief and meet the eligibility guidelines. Here are three of the top factors that affect a person’s eligibility.


If you want to use Chapter 7, you must earn less money than average people in your state. A lawyer uses the means test to verify this detail. 

You can’t use Chapter 13 without enough income, as it requires repaying the debts you owe. You can’t repay your debts without a steady income. 


The types and amounts of your debts also play a role in your eligibility. You should write a list of every debt you owe, as a bankruptcy attorney in Philadelphia will ask for this information. 

Previous Bankruptcy Filings 

Additionally, you can only use bankruptcy a second or third time if you wait long enough. The waiting periods vary by branch. In most cases, people must wait six to eight years. 

The Challenges of Unemployment With Bankruptcy 

As you see, you can choose from two main types of bankruptcy cases. If you’re unemployed, though, you can’t qualify for Chapter 13. As a result, you’d need to pursue Chapter 7 if you want to use bankruptcy. 

Chapter 7 offers relief for people who owe a lot of unsecured debts, but it doesn’t help much for nonqualifying debts. If your debts don’t qualify for a discharge in Chapter 7, you might face a challenge.

The challenge is determining what to do if Chapter 7 won’t offer the relief you need.

The second challenge is paying for your case. Bankruptcy is a legal proceeding that costs money. You can choose an attorney and ask about the cost of bankruptcy to see if you can afford it without a job. 

One additional challenge you might face is knowing when to hire a lawyer. For example, when is the right time to file, and are there alternatives? 

How a Bankruptcy Attorney in Philadelphia Can Help

You can research bankruptcy options, rules, and benefits to learn more about the process, but speaking with a bankruptcy attorney in Philadelphia is the best way to learn more about your situation and options. 

At Sadek Bankruptcy Law Offices, we offer bankruptcy services in the Greater Philadelphia area. We provide free consultation appointments to help people learn their options, so contact us today to learn more.

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