Deciding over whether or not bankruptcy is the best option for you is not an easy one. That’s why consulting with an experienced bankruptcy attorney can help you make the right decision for your unique financial situation. There are a number of important decisions to make, such as whether you want to file for Chapter 13 or Chapter 7 bankruptcy. I can help you understand the pros and cons of each so you can make an informed decision. Garnished wages can be devastating to an individual or family and often makes an already bad financial situation much worse. It can take away a large portion of your total monthly income, making it harder to pay your debts.
Known as the automatic stay, this feature of the bankruptcy process is essential to protecting the system of debt relief created under federal law. One of the biggest perks of filing for bankruptcy is that as soon as you do, the Bankruptcy Court will issue an automatic stay. Essentially, the automatic stay prohibits creditors from all collection activities until the bankruptcy process has come to a close. This also means that you will get to keep your home at least until the bankruptcy process ends, even if you file on the date of foreclosure.
Fortunately, credit counseling can help you find ways to improve your credit after a repossession, and there are ways for you to build your credit after filing bankruptcy. People often file for Chapter 13 if they have secured debts they don’t want to lose, or if they don’t qualify for Chapter 7. A skilled bankruptcy attorney can help you determine which of these two types of bankruptcy will provide you with the best outcome based on your circumstances.
The court will tell you how much the down payment and installments will be. Some filers choose to do this if their wages are being garnished or they’re facing other serious collection actions. That’s because as soon as you file for bankruptcy, an automatic stay goes into effect. Kentucky bankruptcy laws are designed to help you while treating everyone — creditors included — fairly. You can’t use bankruptcy to get out of child support obligations or certain government fines or fees. But Chapter 7 bankruptcy can help you get rid of medical bills and credit card balances that would otherwise take up most of your disposable income.
Bankruptcy
You’ll also need to attend a creditors meeting, typically about days after you file for bankruptcy. At this meeting, your creditors will have the opportunity to ask you questions about your bankruptcy case. Once your petition and schedules are completed, you’ll need to file them with the bankruptcy court in your district. You’ll also need to pay a filing fee, which is currently $338 for Chapter 7 cases.
Is A Means Test Necessary For Business Bankruptcy?
Check your contract and receipt for collateral such as jewelry, gadgets, beds, furniture, and major appliances. If the loan isn’t unsecured, you’ll be able to pay it off, but the creditor will still have a claim on the property used to secure the debt. While it is possible to file bankruptcy without an attorney (or pro se), we do not recommend it. Filing bankruptcy of any chapter requires a decent understanding of bankruptcy law, as well as careful and meticulous preparation. When you work with O’Bryan Law Offices, you receive all the benefits of working with an experienced attorney and none of the risks of handling it alone.
They may charge you late fees, impose higher interest rates, send your account to collections, or even serve you with a debt collection lawsuit. If you’re facing credit card bills that you simply can not afford, we recommend understanding the stages of being delinquent on your credit card payments. Filing for bankruptcy can help stop foreclosure proceedings, at least temporarily. When you file for bankruptcy, an automatic stay goes into effect, which prohibits creditors from taking any collection actions, including foreclosure. This can give you time to catch up on missed mortgage payments or negotiate a loan modification with your lender.
If you are interested in filing for Chapter 7 bankruptcy, or you want to learn more about which chapter of bankruptcy is right for you and your situation, call O’Bryan Law Offices. We can help you understand the advantages and disadvantages of a Chapter 7 filing and can help you file your petition for bankruptcy. By submitting, you agree the phone number you provided may be used to contact you by the law firm and its affiliates (including autodialed, pre-recorded calls or text messages). If you don’t want us to contact you, feel free to call our numbers. Louisville Lawyer List is is a local directory of attorneys in Louisville.
Additionally, should a creditor decide to sue you, they can represent you in court. It’s important to be very selective while looking for a credit counseling company or a debt settlement company, as few limitations exist for those companies currently. We can help you both manage your debt and receive legal protections from your bankruptcy filing.
How Can Bankruptcy Stop My Foreclosure?
The longer you wait to pursue debt management, the fewer options you’ll have for your credit card debt incurred. Below, we outline some ways to examine your financial situation and achieve relief for your unsecured debt. That said, with all the misconceptions swirling around bankruptcy, it’s no shock that people often look to other options before committing to bankruptcy. The truth is, for some people, there are some viable options other than bankruptcy, such as short sales or obtaining loan modifications.
First, you’ll need to determine whether you are in the Eastern District or the Western District of Kentucky. The information presented on this website is not legal advice and is for informational purposes only. Our lawyer recommendations do not constitute a guarantee regarding the outcome of any legal matter, past success on cases does not guarantee success in any new or future lawsuit. This website is not intended as advertising or solicitation in any jurisdiction. In most cases, you will have a ten or fifteen-day grace period after you miss a mortgage payment before you’ll be charged a late fee.
You’ll start attending these meetings about 30 to 45 days after you file your petition to give your creditors an opportunity to object to your repayment plan. You’ll need to provide a detailed accounting of your income, debts, assets, and expenses. You’ll also need to list any creditors you want to include in your repayment plan. First and foremost, you should only file for Chapter 7 bankruptcy if you’re truly in a financial bind and cannot afford to pay your debts.
Our mission is to help low-income families resolve their debt and fix their credit using free software tools. Our team includes debt experts and engineers who care deeply about making the financial system accessible to everyone. We have world-class funders that include the U.S. government, former Google CEO Eric Schmidt, and leading foundations. These organizations are a wonderful option if you’re not comfortable with handling the bankruptcy process on your own. If you can’t afford a lawyer to help you with your Chapter 7 bankruptcy in Kentucky, you may be eligible to get help from one of the four legal aid programs in the Bluegrass State.
Banks that sue homeowners following a foreclosure are included in this category. They receive a judgment against the individual if they win in court. As a result of the ruling, they are now able to get a garnishment order. At O’Bryan Law Offices, we can help you achieve debt relief in Kentucky and Indiana, as well as handle garnished wages without notification. Once you establish an attorney-client relationship with us, we can offer a free evaluation of your case. This means we don’t accept a cent from you during your initial consultation.
Before submitting your bankruptcy petition to the bankruptcy court, there are certain steps you and your attorney must take. You will need the certificate of completion in order to begin your bankruptcy case. To give the client a low price, you can always cut corners and do less work.