Louisville, KY asked in Bankruptcy for Kentucky

Q: We have approximately $70,000 in unsecured debt. I want to file bankruptcy is there a cutoff on what you can make?

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4 Lawyer Answers
Andrew Bresalier
Andrew Bresalier
Answered
  • Plantation, FL

A: Debt is not the only thing to look at when considering Bky. Income must be examined to confirm you pass the Means Test (income is compared to those in your community). You must also examine transfers/sales (court could reverse transfers or sales for less than market value) and exemptions (you could lose personal property such as a car). Most attorneys provide a free initial consult and discuss these matters, along with the best chapter for you.

Richard J. Head
Richard J. Head
Answered
  • Louisville, KY
  • Licensed in Kentucky

A: You can file for protection, but if you make over a statutory threshold you may have to file for a Chapter 13 instead of a Chapter 7. There are a lot of factors that go into this determination, and you need to make an appointment with a lawyer who practices in the District where you live.

Richard J. Head
Richard J. Head
Answered
  • Louisville, KY
  • Licensed in Kentucky

A: You can file for protection, but if you make over a statutory threshold you may have to file for a Chapter 13 instead of a Chapter 7. There are a lot of factors that go into this determination, and you need to make an appointment with a lawyer who practices in the District where you live.

Justin Lee Lawrence
Justin Lee Lawrence
PREMIUM
Answered
  • Bankruptcy Lawyer
  • Fort Mitchell, KY
  • Licensed in Kentucky

A: There is a cutoff to what you can make and still file a Chapter 7. If you want to completely eliminate unsecured debt, a Chapter 7 is the way to go. If you make too much, you will have to file a Chapter 13 bankruptcy and pay some or all of that debt depending on your monthly budget after expenses. How much you can make depends on the size of your household and the state in which you live. Also, the limit changes periodically based on US Census data.

I have attached a link to a page that describes Chapter 7 in Kentucky a little more thoroughly. Best of luck!

http://www.lawrencelaws.com/bankruptcy/chapter-7-bankruptcy/

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