Can You File Bankruptcy in the Army?

According to 11 U.S.C. Section 109(a), a debtor in bankruptcy must reside, have a domicile or place of business, or own property within the United States. Active-duty military personnel are considered to reside within the United States and satisfy this requirement.

Credit Counseling

To file bankruptcy, all debtors must complete an approved course in credit counseling. Because this requirement can cause undue hardship when serving overseas, courts waive this requirement for active-duty military personnel.

341 Meeting

Trustees can waive the mandatory attendance requirement for the 341 meeting with creditors. To receive a military waiver, proof of hardship is required.

Property Exemptions

To claim state exemptions, 730 days' residency is required before you file bankruptcy. If you do not satisfy this requirement, you must look back to identify the last state where you lived for at least 180 days to determine property exemptions.

Hearings

If your testimony is requested, courts can allow a telephone conference.

Venue

Generally, active-duty military personnel are considered to reside at their home base within the United States.

References

• 11 U.S.C. Section 109(a)
• 11 U.S.C. Section 109(h)
• 11 U.S.C. Section 522(b)(3)

Resources

• United States Bankruptcy Code