You may either catch up on missed payments, Louisville Bankruptcy Lawyer pay off the entire loan, or buy your car back at an auction. Typically though, it will take a couple of missed payments before they resort to physically taking back the car. In addition, your creditor should inform you of these missed payments, so you should have some kind of warning that a repo may occur. Repossession, sometimes called repo, is a term used to describe the process of a lender taking back property when a buyer defaults on payments.

 

If he charges 600 dollars you don’t get an experienced attorney working a day on your case. You normally get a paralegal or secretary who prepared it and a kid fresh out of law school who went with you to court. A Chapter 7 should cost about the same as an average refrigerator.

 

It also provides for an automatic stay of all legal proceedings, including foreclosures, that go into effect immediately. Both Kentucky or Indiana are judicial foreclosure states, meaning foreclosure requires court action. So usually, your lender will wait until after the third or fourth consecutive missed payment, accompanied by numerous warning notices, before proceeding. Even if a bankruptcy court grants the bank their motion to end the stay, the foreclosure will be delayed at least a few months. This extra time might allow you to explore alternatives to foreclosure.

 

I know clients are often cash poor, and they like to pay by making payments. Paying the court costs and attorney fees after you file is fairly new. We were one of the first offices to do it in 2020 for Kentucky.

 

Then, find someone who knows what they are doing if you have foreclosure, student loan, or tax debt. If a stay is not automatically granted, a person may request one from a judge. It may also be possible to request an extension of a stay beyond the 30-day period following the filing of a case. A court will examine how many cases a person has filed in the previous year or several years when assessing their request. When deciding whether or not to grant or prolong a stay, he or she will look at the grounds why previous applications were dismissed. With the spike in the inflation rate, a question that often comes into the filer’s mind is whether the cost of bankruptcy is also affected by it or not.

 

It refers to other codes, such as the IRS code, in determining whether student loans and income taxes can be discharged. After the Chapter 7 discharge order has been issued, all debt collectors are required to stop any collection efforts on the discharged debts. This means you will no longer have to deal with debt collector calls or wage garnishment attempts.

 

If creditors do continue to try to collect on unsecured debts that were discharged in the bankruptcy, you can alert the court, and those creditors may be punished. At the end of the bankruptcy process, a Chapter 7 discharge order will be sent out to the debtor, their lawyer, and their creditors. This document will have the debtor’s information on it, and it will be signed by the bankruptcy judge who handled the case.

 

Chapter 7 filings, from start to finish, usually take only a few months to complete. Chapter 13 filings, however, can take anywhere from three to five years in total. Consider the pros and cons of both chapters before you take the means test. Examining the benefits that each chapter provides for your situation is one important way of researching the process before you dive in head first. You may find that the federal bankruptcy exemptions protect more of your real and personal property than your state bankruptcy exemptions.

 

What Is The Purpose Of Chapter 12 Bankruptcy?

 

It can take away a large portion of your total monthly income, making it harder to pay your debts. Luckily, there are a few ways to stop garnished wages, protect yourself from their effects, and achieve debt relief. For detailed advice about your situation and your options, there’s no substitute for talking to an experienced bankruptcy attorney. We have years of experience with bankruptcy law and do not recommend filing bankruptcy without the help of an experienced attorney. Contact us at O’Bryan Law Offices with convenient locations in Louisville, Frankfort, or New Albany to Schedule a Free Consumer Bankruptcy Consultation. Our experienced bankruptcy attorneys at O’Bryan Law Offices can help you choose the best option for your situation.

 

For many people, this type of debt management plan appeals to their desire for a lower interest rate. In fact, it can even be a good idea for those handling a more manageable amount of debt. It essentially allows you to combine different debts with different due dates, payments, and interest rates into one easy payment.

 

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. Brian has also represented creditors pursuing derivative claims in bankruptcy. Brian edits and contributes to Creditors’ Sidebar, a legal blog focused on bankruptcy and creditors’ rights issues. Our lawyers make sure that you understand your responsibilities and we help you meet them.

 

We are here to help you navigate this challenging time with confidence and clarity. Our Bankruptcy Attorney, Tracy L. Hirsch, has 23 years of experience, and has filed over 2,000 cases. Her attention to detail and extensive knowledge of local bankruptcy rules, means that things are done correctly the first time. If you don’t have enough time or money to reinstate or redeem your loan before the lender sells it off, you may be able to take a different route. The state of Kentucky allows a lender to sell the vehicle they repossessed from you at an auction, given you do not redeem it within their set deadline.

 

Chapter 11 Bankruptcy Basics

 

Also, the client may be required to replenish the account as needed. Another way that bankruptcy attorneys in Louisville may get paid is through an hourly rate. In this fee structure, the attorney charges a set hourly rate for the time they spend working on the case. Hourly rates for bankruptcy cases in Louisville can range from $200 to $400 per hour.

 

The trustee can also recommend denial of discharge or dismissal of your case if you don’t follow the bankruptcy rules. The “chapter” names involved in bankruptcy proceedings come from the chapters where they appear in the federal bankruptcy legal code. Chapter 7 is also called “liquidation bankruptcy.” The goal is to discharge unsecured debt that has grown beyond your control. This can include medical bills, credit cards debt, unsecured loans, and sometimes more. Filing for bankruptcy prevents a judgment, so creditors can’t submit an earnings withholding order to a debtor’s employer.