Bankruptcy Attorney Missouri: Chapter 7 vs 13, Exemptions & Means Test (2026)
Confronting debt, wage garnishment, or foreclosure in Missouri? This guide covers Chapter 7 versus Chapter 13, Missouri's opt-out exemptions, the modest homestead and its scheduled 2027 increase, Means Test thresholds, and the two federal courts that serve the state.
Navigating Debt Relief in the State of Missouri
From St. Louis and Kansas City to the Ozarks and the Bootheel, medical bills, job loss and business setbacks can push Missouri households into debt they cannot manage. Federal bankruptcy law offers a lawful path to discharge debt or restructure it into an affordable court-supervised plan.
Working with an experienced Missouri bankruptcy attorney is especially valuable here because Missouri is an opt-out state with a notably small homestead and wildcard: filers cannot use the federal exemption list and must rely on RSMo Chapter 513. A 2026 amendment raises several limits for cases filed on or after January 1, 2027, so the filing date can matter.
Chapter 7 vs. Chapter 13: Choosing the Right Path
Chapter 7: Fresh Start Liquidation
Often called straight bankruptcy, Chapter 7 discharges qualifying unsecured debts such as credit cards, medical bills and personal loans in roughly 3 to 5 months. Because Missouri's homestead and wildcard are modest, homeowners with meaningful equity should have an attorney review what a trustee could reach before filing.
- Discharges unsecured debts within roughly 90–120 days
- Requires passing the Means Test
- No mandatory debt repayment plan
Chapter 13: Wage Earner Restructuring
Designed for individuals with steady income who exceed Chapter 7 limits, owe non-dischargeable debt, or need to cure mortgage arrears. Chapter 13 sets a 3- to 5-year repayment plan, letting Missouri homeowners stop foreclosure, catch up on missed payments, and keep equity above the homestead cap by paying creditors its value over time.
- Curbs mortgage defaults and can stop a foreclosure sale
- Consolidates obligations into one monthly payment
- Protects non-exempt property that would otherwise be sold
Missouri's Opt-Out Exemption System
Missouri is an opt-out state under 11 U.S.C. § 522(b)(2): federal exemptions are unavailable and Missouri statutes decide what property is protected. Several figures below are scheduled to increase for cases filed on or after January 1, 2027. Confirm which amounts apply to your filing date with an attorney.
Homestead Exemption (RSMo § 513.475)
Missouri's homestead exemption protects up to $15,000 of equity in a primary residence for cases filed before January 1, 2027, measured after mortgages and liens. If more than one owner claims it, their combined claims cannot exceed the single total for that homestead. A 2026 amendment raises the homestead exemption to $40,000 for cases filed on or after January 1, 2027.
Personal Property & Other Exemptions
Missouri exemptions (RSMo § 513.430) include a motor-vehicle exemption of $3,000 in equity, household goods up to $3,000 in aggregate, and a $600 wildcard for any property, plus tools of the trade, limited wage protection and retirement-account protections. The same 2026 amendment increases several of these figures for cases filed on or after January 1, 2027.
Key Missouri Bankruptcy Statutes & Rules
| Statutory Element | Missouri Rule & Federal Code |
|---|---|
| Exemption System | 11 U.S.C. § 522(b)(2): Missouri is an opt-out state; filers use Missouri exemptions under RSMo Chapter 513. |
| Homestead Exemption | RSMo § 513.475: $15,000 of equity for cases filed before January 1, 2027; $40,000 for cases filed on or after that date under the 2026 amendment. |
| Personal Property Exemptions | RSMo § 513.430: vehicle equity $3,000, household goods $3,000 aggregate, $600 wildcard, tools of the trade, and retirement accounts; several increase on January 1, 2027. |
| The Automatic Stay | 11 U.S.C. § 362: halts foreclosure sales, repossessions, lawsuits and wage garnishments on filing. |
| Means Testing Period | 11 U.S.C. § 707(b): six-month historical income compared against Missouri median income. |
| Mandatory Credit Counseling | 11 U.S.C. § 109(h): briefing from a UST-approved agency within 180 days before filing. |
Source: Revised Statutes of Missouri §§ 513.430 and 513.475; U.S. Bankruptcy Code (Title 11). Dollar limits are adjusted periodically — confirm current figures with a licensed Missouri attorney.
Missouri Federal Bankruptcy Courts
Missouri has two federal bankruptcy districts: the Eastern District (St. Louis, Cape Girardeau, Hannibal) and the Western District (Kansas City, Springfield, Joplin, Jefferson City), assigned by county of residence. Use the city links below to find attorneys near you:
Frequently Asked Questions: Missouri Bankruptcy
Can I use federal bankruptcy exemptions in Missouri?
No. Missouri is an opt-out state under 11 U.S.C. § 522(b)(2), so residents must use the Missouri exemptions in RSMo Chapter 513. An attorney can map your home equity, vehicle, retirement accounts and personal property against those limits.
How much home equity does the Missouri homestead exemption protect?
Under RSMo § 513.475, the homestead exemption protects up to $15,000 of equity for cases filed before January 1, 2027. A 2026 amendment raises it to $40,000 for cases filed on or after January 1, 2027. If several owners claim it, their combined claims cannot exceed the single total.
How does the Means Test determine Chapter 7 eligibility in Missouri?
The Means Test compares your average gross household income over the six months before filing against the Missouri median income for your household size. At or below the median, you generally qualify for Chapter 7. Above it, a second calculation of IRS-allowed expenses determines whether you have enough disposable income that Chapter 13 may be required.
How does the automatic stay protect Missouri debtors?
Under 11 U.S.C. § 362, filing a bankruptcy petition triggers an immediate injunction called the automatic stay. It halts collection calls, pending wage garnishments, lawsuits, foreclosure sales and vehicle repossessions as soon as the petition is filed, subject to the Bankruptcy Code's exceptions.
Which federal bankruptcy court handles my Missouri case?
Missouri has two federal bankruptcy districts: the Eastern District (St. Louis, Cape Girardeau, Hannibal) and the Western District (Kansas City, Springfield, Joplin, Jefferson City). Your case is filed in the district that covers your county of residence.
Can taxes and student loans be discharged in a Missouri bankruptcy?
Income taxes can be discharged in Chapter 7 or Chapter 13 only if they satisfy the federal 3-2-240 rule (return due at least 3 years before filing, filed at least 2 years before, assessed at least 240 days before, and no fraud). Most federal and private student loans remain non-dischargeable absent a showing of undue hardship, and domestic support obligations are never discharged.
Related Legal Resources Near Missouri
Bankruptcy Attorney Illinois Guide
Compare Missouri's opt-out approach with neighboring Illinois.
Bankruptcy Attorney Tennessee Guide
See how neighboring Tennessee handles homestead and wildcard exemptions.
Bankruptcy Attorney Ohio Guide
Review another Midwestern state's exemption framework.
Bankruptcy Attorney Texas Guide
Compare Missouri's modest homestead with Texas's unlimited homestead.
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