John H. Ruby & Associates helps clients by discussing options to handle debt and explaining the various types of bankruptcy, including Chapters 7, 11, and 13.
Louisville Chapter 7 bankruptcy
Filing a Chapter 7 bankruptcy in Louisville involves liquidation of assets to pay off debt. Under the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA), individuals must qualify to file Chapter 7 based on a means test, which is an income based calculation that is then compared to the median income of the particular state where the person resides, in this case Kentucky. If the individual’s calculated income is the same or less than the median income, he or she is eligible to file Chapter 7. Many debtors in higher income brackets no longer qualify for Chapter 7 under the BAPCPA.
If you are dealing mostly with unsecured debt 9for instance, credit cads), have few assets, and are in a lower income bracket, you may find Chapter 7 is the best solution for your financial troubles. Chapter 7 is the most common type of bankruptcy filed. Certain debts are discharged at the end of the bankruptcy, which provides a fresh start.
Chapter 7 in Louisville for businesses
Both businesses and individuals may file Chapter 7 to handle debt. A company filing Chapter 7 is going out of business. However, other legal remedies are also available for businesses facing insolvency. We can often help businesses meet their business objectives by filing a Louisville Chapter 11 bankruptcy. Find out more about how businesses can deal with debt and bankruptcy through our Business Bankruptcy page.
Chapter 13 in Louisville
Louisville Chapter 13 bankruptcy, also called the wage earner’s bankruptcy, allows individuals with substantial assets and a stable income source to pay off debt over a three or five year period.
For Chapter 13, you and your lawyer devise a repayment plan, which a court-appointed trustee must approve. You pay the trustee in monthly installments, and the trustee distributes payment to your creditors. Your amount of unsecured and secured debt must fall within limits set by the bankruptcy code in order to be eligible for Chapter 13.
Contact John H. Ruby & Associates about Louisville bankruptcy
Do not hesitate to contact our office to discuss your bankruptcy in Louisville. We can help you determine whether you qualify for bankruptcy and which type of bankruptcy suits your needs. Call 888-314-8437 or email us for assistance.