Tag Archives: Eastgate Bankruptcy Lawyer

We are bankruptcy attorneys located in Eastgate, Ohio.  Our main focus of practice for over 26 years has been in Chapter 7 and Chapter 13 bankruptcy filings.

For most once they decide to file bankruptcy the decision comes down to which Chapter they will be filing.  Both chapters are beneficial in their own way.  Many factors play into which chapter you will file.  Your income and assets are the main considerations.  Many prefer to qualify for Chapter 7 but may not qualify.

BANKRUPTCY TIMELINE

In Ohio a typical Chapter 7 bankruptcy lasts about six months from the day you file until you receive your discharge.  Your actual court date which is call a 341 Meeting of Creditors will be four to six weeks out from your filing date.  For Chapter 13 you will also have a 341 Meeting of Creditors about four to six weeks after your filing date.  Once you file for Chapter 13 expect to be in the case for a period of three to five years as this time period is mandated by federal law.  Once your complete your Chapter 13 you will receive your discharge.

PAY BACK OF DEBTS

In bankruptcy different debts are classified in basically two groups.  Your unsecured debts (credit cards, medical debts, loans) and your secured debts (houses, cars, anything secured by collateral). There is also a sub-category of unsecured loans which are called priority debts, debt-troublesstudent loans and tax debts fall into this category.  If you file for Chapter 7 you will be able to discharge all of your unsecured debts and not have to pay anything back.  Most unsecured debts can be discharged, student loans and most taxes will survive the case.  Any secure debts that you would want to keep (such as your home or vehicle) you would continue to make your payments on and sign a reaffirmation agreement within the case. Chapter 13 is a re-payment plan.  Under this re-payment plan you will pay all of your debts with a single payment to the Chapter 13 Trustee once a month.  Out of this payment the trustee may make your regular house payment.  If you have any back payments on your home they would also make this payment for you.  If there is a vehicle payment involved this will also be made by the trustee. You will pay back a percentage of your unsecured debts.  This percentage is based on several factors and can range from 1 percent to 100 percent.  The debts will be paid in order of priority.  So basically in a Chapter 13 you have one payment a month to the Chapter 13 office and your utilities to pay during the duration of the case.

ASSETS

One big benefit of Chapter 13 is you will not have to worry about losing any of your assets in the case.  You keep all of your assets that you wish to keep.  In a Chapter 7 which is also referred to as a liquidation bankruptcy as the trustee may take some of your assets and liquidate them to gain funds to pay your creditors.  Most people do not have to worry about this though because in Ohio the exemptions are very high and most assets can be protected.

As to your home if you want to qualify for a Chapter 7 you must be current on your mortgage payment to keep your home.  If you file Chapter 7 and are not current on your home the lien holder will require that you get current or they may file for Relief from Stay which once granted they can begin the process of foreclosure.  However, if you are current on your home Chapter 7 is no problem, just continue to make your payments and you may reaffirm the debt in the case is you wish.

Chapter 13 is designed to help you save your home if you are behind on your payments.  Under Chapter 13 you will have the three to five year period to make up your missed payments through the case.  The trustee will also make your regular house payment and at the end of the case the trustee will certify that all payments are current.

MORE INFORMATION

For more information check out our website at www.keegancolpa.com.

Call today for your free consultation to find out which bankruptcy chapter is best for you.

 

BANKRUPTCY

We are bankruptcy attorneys located in Eastgate, Ohio.  Our main focus of practice has been bankruptcy for over 27 years.

ARE YOU THINKING OF FILING FOR BANKRUPTCY

Are you thinking of filing for bankruptcy.  Looking for an attorney to represent you through the process?  Calling around to get a fee?  Looking for the lowest fee around?  Just remember that you get what you pay for.  Bankruptcy is a very specific process and must be done correctly so Fesenmyer Law Offices, LLC_that your case will go through and you will receive your discharge through your case.  You do not want any snags and want everything to go through smoothly.  It is stressful enough when everything goes just right let alone when things are messed up.  Some believe that bankruptcy is simple, so simple that they can even take care of it themselves.  This may have been the case in the past but since the Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) of 2005 things are much more difficult and more precise.  It is not recommended that you attack this task on your own.

Trying to file for yourself will most likely cause you more headaches than you would like to endure.  So the decision to seek an attorney to help you through the process is the best one.  You will want to find an experienced attorney who specialized in bankruptcy.

OUR LAW OFFICE

At the Keegan & Co. Attorneys, LLC our main focus of practice is bankruptcy, this is our main focus of practice.  Our office has specialized in bankruptcy for over 27 years.  We can provide you with the expertise that will make your bankruptcy seem simple and before you know you will be on with your debt free life.

FREE CONSULTATION

At our office we will offer you a free consultation where you will be able to sit down and discuss 25604196-a-person-drawing-and-pointing-at-a-bankruptcy-consulting-chalk-illustrationyour individual situation.  They will be able to advise you as to the best road for you to take on your financial journey.  Sometimes bankruptcy is the answer, sometimes it may not be the best decision.  The attorney will advise what is best for you.

At this free consultation the attorney will quote you a fee.  If you decide you want to move forward a small retainer will retain this office.  Once you have retained our office you will quit paying on bills you do not want to keep and refer your creditors to our office until your case is filed.  We will accept monthly payments until your case is filed.

MORE INFORMATION

For more information check out or website at www.keegancolpa.com call 513-752-3900 for your free consultation today!

At our Eastgate, Ohio bankruptcy office we will be able to help you get out of debt and get a fresh financial start!

BANKRUPTCY & INCOME

We are bankruptcy attorneys located in Eastgate, Ohio.  We specialize in Chapter 7 and Chapter 13 bankruptcy filings.

Many people assume that if their income is relatively high, they cannot file for Chapter 7 bankruptcy.  Usually this assumption is incorrect.  It is not by any means unusual for a high-income debtor to file under Chapter 7.  In reality, high-income Chapter 7 bankruptcies are filed everyday.

What constitutes as high income is a matter of perspective and depends on many factors, such as where you live, your living expenses, the size of your family, etc.  (A salary of $80,000.00 for a family in rural Ohio goes a lot further than the same earnings in the city center of Columbus or Cincinnati).  With that being said, in the language of bankruptcy attorneys a “high-income debtor” is a debtor with earnings above the state median income for the debtor’s family size.

The Ohio state median income per family size (determined by census figures) as of the date of this post is as follows

Individual Family of 2 Family of 3 Family of 4
43,688 53,850 61,568 77,500

*For each additional family member over four, add $8,100.

WHY IS THE STATE MEDIAN IMPORTANT?

Whether your income is above or below the Ohio state median income determines if you will be able to discharge all or most of your debts in Chapter 7, or will you be required to pay back at least a portion of your debt under Chapter 13.  If your average gross earning for the six months before filing for bankruptcy is at or below the state median for your family size, you may file under Chapter 7 (assuming that you meet the other requirements).  Simple!

On the other hand, if your average gross earnings for the six months before filing is over the median, you will have to takes a “means test” to determine if you qualify for Chapter 7.  This means test considers your income minus certain allowable expenses.  Frequently the results allow a debtor with substantial earnings but high expenses to file under Chapter 7.

ARE YOU REALLY A HIGH-INCOME DEBTOR?

Before jumping to meet the means test, debtors need to determine if they are actually high-income debtors for the purposes of the test.  We often have clients with seemingly high earnings who are surprised that they fall below the state median.  Many of these clients have not considered the size of their families.  However, one of the most important factors in determining whether or not you are a high-income debtor is family size.  For example, a family of four making $85,000 would have earnings well above the state median of $77,500 for their family size.  But what if that family making $85,000 includes six members?  Because the median state income medical for a family of six is $93,700, the debtors do not need to take the means test.

Even if the debtor is above the state median, it is often by much less than the debtor presumed.  The closer your overall earnings are to the state median, the easier it is to pass the means test.

WHAT TYPE OF INCOME?

If you appear to be over the median, you may still be able to avoid the means test.  Depending on what type of earnings you have.  Not all sources of money count as income for calculating gross earnings.  For example, under the Bankruptcy Code certain income, primarily social security, is excluded from your gross income for the purposes of the means test.  This exclusion will often bring a debtor’s gross earnings below the state median, thus avoiding the means test.  In addition, because the bankruptcy code focuses on “regular income”, some irregular earnings may not count as “gross income”.

CAN I PASS THE TEST?

Finally, even if you must take the means test, it is still quite possible that you will qualify for Chapter 7.  Very often, high-income debtors have high allowable expenses, including mortgage payments, vehicle payments, etc., that will offset their earnings.  Although the means test is complex and must be handled carefully, it is not at all unusual for high-income debtors to pass the test.  However, failing to list income of any kind can lead to unpleasant consequences.  Attention to detail is the name of the game?

WHAT NOW?

We have spent most of this blog discussing the initial qualification for Chapter 7.  However, it is important to note that even if you pass or avoid the means test, you do not automatically get to file under Chapter 7.  You must meet all other requirements, including a showing that after expenses, you have no significant disposable income to pay your creditors.  In addition, there may be a reason for choosing Chapter 13, such as saving a house from foreclosure or a car from repossession.  In some cases, a non-bankruptcy solution such as debt negotiation may be available.

MORE INFORMATION

For more information check out our website at www.keegancolpa.com

FREE CONSULTATION

Contact our Eastgate, Ohio bankruptcy attorney today for your free consultation to see if you can qualify for a Chapter 7 bankruptcy.

BANKRUPTCY

We are bankruptcy attorneys located in Eastgate, Ohio.  Our main focus of practice has been bankruptcy for over 27 years.

Are you struggling with debt?  Of course if you are considering bankruptcy it probably means that you are looking at debts with you are unable to pay.  Bankruptcy in most cases may help you get rid of your debts and give you a fresh financial start.

Chapter 7 and Chapter 13 are the most common consumer chapters.  Each chapter has its own rules so you must know which chapter best fits your circumstances.  At our office you will be able to sit down with a knowledgeable attorney and he will be able to advise which chapter is best for you.

CHAPTER 7

Most thinking of bankruptcy would prefer to be able to file Chapter 7.  This is the most common filing for most consumers.  Under Chapter 7 you will be able to discharge all of your unsecured debts under the bankruptcy code.  A discharge is a federal court document releasing you from your debts.  This document automatically releases you from most of your unsecured image7sdebts.  Debts which cannot be discharged include such things as student loans, newly incurred tax debt, spousal or child support and court costs for criminal charges.  As to your secure debts such as your home, vehicle or jewelry you will have to make a decision if you will want to resign on these debts through a reaffirmation agreement or surrender them.  A reaffirmation agreement is a document basically re-entering the terms of the original debt, once you sign the reaffirmation agreement this debt will be excluded from your bankruptcy and will report going forward on your credit.  If you decide to surrender your collateral this debt will be discharged through your case.

Chapter 7 is sometimes referred to as a liquidation bankruptcy because the trustee may take some of your assets, but most bankruptcy attorneys refer to Chapter 7 as a simple or straight bankruptcy, because most assets are covered under state regulated exemptions and are protected.

CHAPTER 13

Chapter 13 bankruptcy is designed for those who are over the income limit for Chapter 7 or are behind on their home or vehicle and would like to retain these going further, or some who just do not like the idea of not paying their debts, but just cannot make the minimum monthly payments and would like to stop all interest and charged going forward.  Chapter 13 is a re-payment plan, you will pay back between 1% to 100% of your debts depending on your individual circumstances.  An unsecured creditor cannot charge you interest during a Chapter 13.  Once you complete your case you will be receive you discharge and all debts will be discharged.

AFTER DISCHARGE

Once you receive your discharge creditors are not allowed to collect on these debts in any way images5or form.  They cannot send you a bill, they cannot call you, they cannot take you to court, they cannot garnish your wages.  You are free and clear from these debts and you have gotten your fresh financial start!  Congrats!  Now how to stay that way and re-build your credit going forward.  The most important thing is to make any payments for debts that you reaffirmed on on time and try not to let debts get into collection.  Your credit will improve in no time.

MORE INFORMATION

Bankruptcy is serious decision, call today for your free consultation to see if it is the right one for you 513-752-3900.

Check out of website at www.keegancolpa.com.

Contact your Eastgate, Ohio bankruptcy attorney today!

 

BANKRUPTCY AND YOUR RETIREMENT ACCOUNT

We are bankruptcy attorneys located in Eastgate, Ohio.  Our primary practice is focused on Chapter 7 and Chapter 13 bankruptcy filings.

Are you struggling with debt, looking for a way out of debt.  The feeling can be overwhelming.

Worry to check the mail box or answer the phone.  Looking for a way out of debt!  You are not13593348-wereldwijde-financi--le-crisis-zakenman-valt-business-concept-ge-----soleerd-op-wit

SHOULD I CASH IN MY RETIREMENT TO PAY MY DEBT?

The straight up answer here is NO!  This is a bad idea!  You have worked hard and saved up your retirement for your whole life.  Your retirement is just for that, your retirement.  Funds you will need as you grow older and will no longer be  able to run the race everyday like you do now.  Most likely you are currently employed which provides funds for your needs just as your retirement funds will provide for your needs in the future.  If you are already retired then you needs these funds now, these are your funds to provide for your needs, you need these funds, do not cash them in to pay debts.

Bankruptcy may be available for you.   Under the federal code your retirement funds are protected.  You can file for bankruptcy protection and keep your retirement accounts for when they will be needed..when you retire.

WHAT IS BANKRUPTCY?

A federal code set up which will allow a debtor to discharge all of their unsecured debts.  Once a discharge is issued creditors can no longer collect on debts included in the bankruptcy.  You do not have to pay any of these debts and you do not need to report the filing to the IRS as income.  There are two main chapters filed by most consumers which are Chapter 7 and Chapter 13.

CHAPTER 7 

Chapter 7 is the most common bankruptcy filing.  It goes by many names, Chapter 7, straight image7sbankruptcy, simple bankruptcy, liquidation bankruptcy and so forth.  In a Chapter 7 you will be able to discharge all of your unsecured debts.  If you have secured items you would like to keep such as a home or vehicle you will be able to reaffirm on these debts through your case.  Chapter 7 is sometimes referred to as a liquidation bankruptcy because the trustee in a case may liquidate some of your assets, however, most assets are protected under the state exemption levels.

CHAPTER 13

Chapter 13 is designed for those who are over income for Chapter 7 or who are behind on their homes or vehicles.  Chapter 13 is a repayment plan.  Under Chapter 13 you will have three to five years to make up payments you are behind on your home or vehicle.  The trustee will make these payments for your.  You will pay back a percentage of your debts to your unsecured creditors.  You will receive a discharge at the end of your case.

MORE INFORMATION

For more information check out our website at www.keegancolpa.com.

Contact your Eastgate, Ohio bankruptcy attorney to see is bankruptcy is the right decision for your.