Almost anyone who is facing overwhelming debts will be able to file for bankruptcy, but the type of bankruptcy will depend on their preferences and current financial situation. Chapter 7 bankruptcy is a very popular option because it is the quickest form of bankruptcy, and it usually results in the wiping away of all debts.
Am I able to file for Chapter 7 bankruptcy in Kentucky?
Is Chapter 7 bankruptcy the right choice for me?
Many people have reservations before deciding to file for bankruptcy. It's common to feel as though filing for bankruptcy counts as an admission of failure, but this is only an illusion. Taking action to file for bankruptcy can be the opposite of this. It is the act of taking action to claim responsibility for your future.
How does a secured credit card work?
Most credit cards are unsecured loans. They are not backed up by anything. The lender is placing their faith in you that you will repay the money they give you, perhaps because you have shown a history of faithful payments in the past.
Key considerations before filing for Chapter 7 bankruptcy
If you are struggling with a high amount of debt, you may have already read about the potential benefits of filing for Chapter 7 bankruptcy. This bankruptcy filing can be particularly beneficial for those who have a low income and a high amount of debts.
You have rights and responsibilities in a Chapter 7 bankruptcy
When you don't have a lot of assets and only a limited income but are drowning in debt, you might decide that you are going to file for bankruptcy. More than likely, you will qualify to file a Chapter 7. This requires that you pass the means test. Once you meet it and take care of the education requirements for filing, you will be able to get your case moving forward.
Out-of-pocket medical expenses can lead to bankruptcy
Medical bills are one of the leading causes of bankruptcy in this country. Some people might think that this problem only affects the underinsured or uninsured. This isn't at all the case. When you are reviewing your medical insurance policy, there is one major component you should check — the catastrophic coverage out-of-pocket expenses that you have to pay before your plan picks up the charges.
Don't be afraid to file a Chapter 7 bankruptcy
A lot of people are terrified at the idea of filing for bankruptcy, for a number of reasons.
Kentucky has a higher than average personal bankruptcy rate
Although Louisville residents probably recognize that the economy across the country has been improving steadily over the last several years, the reality is that the residents of this state still struggle financially when compared to those of other states, at least if one trust recent statistics regarding bankruptcy filings.
Do I have to list everything I owe in bankruptcy?
Many families in Louisville, Kentucky choose to file a Chapter 7 bankruptcy in order to eliminate a debt that is particularly cumbersome or stressful for a family. For instance, the family may be driven to bankruptcy because of a particularly aggressive credit card company or medical bill collector which seems willing and ready to garnish wage or take other serious action.
Can tax debt be eliminated by filing bankruptcy?
For a variety of reasons, some residents of Louisville will find themselves facing trouble with tax debt. In some cases, there could have been an honest mistake or surprise with respect to what one's tax obligation was, while in other cases, back taxes could just be a symptom of one's overall poor financial health.
