Bankruptcy and Non Bankruptcy Options

Chapter 7 work - how does it work?

Chapter 7 bankruptcy is a way of making many, if not all, of your debts go away. Chapter 7 is also known as "liquidation bankruptcy" or "straight bankruptcy".  Under Chapter 7 the court has the power to eliminate most types of debt, such as credit card debt, loan companies, medical debt and others as well as stop collection actions against you such as garnishments, lawsuits, repossession and foreclosures.

Individuals who file Chapter 7 bankruptcy are usually able to keep their assets. However, it is very important to work with an experienced attorney like Nancy V Jacob, to claim the appropriate exemptions to protect your property.

Exemptions are the section of the law that protects an individual's property, such as home, vehicles, retirement accounts and many other kinds of property, from creditors and the bankruptcy trustee.

Chapter 7 bankruptcy may not work for everyone, but I will work with you to determine if it accomplishes your financial goals so that you can get a fresh start.

As your lawyer, I will discuss Chapter 7 bankruptcy with you and help you decide whether to pursue a bankruptcy filing. Chapter 7 bankruptcy can be a complex process, but I have guided hundreds of people through bankruptcy court. I will make sure every filing is made and as much of your property as possible is protected.

Contact me to schedule A Free Consultation

I offer free 30-minute consultations to all prospective clients. To schedule an appointment, please call 513-921-1400 or send me an email if you prefer. I serve clients throughout the Greater Cincinnati area of Ohio and am located on the westside of Cincinnati in the Dent area. 

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code


Chapter 13 is an alternative to Chapter 7

Chapter 13 is a powerful tool where the debtor and their attorney prepare a plan and present it to the Chapter 13 Trustee and the Court on how their debts will be repaid. It is an option for those who don't qualify for Chapter 7 either because their income is too high, they have filed a recent bankruptcy or they need to use specific tools that Chapter 13 offers. These tools are the ability to "cram-down" certain debt, avoid certain kinds of mortgages, deal with specific debt problems including bringing a mortgage current and avoiding a foreclosure so that their home can be saved. Chapter 13 is a difficult process and should only be undertaken with a qualified bankruptcy attorney.


Work out with creditors

Sometimes the best alternative is to work with your creditors directly and avoid a bankruptcy filing. This is often when your financial situation is simpler and you have fewer creditors. There are debt management companies they can also help you do this workout. We do not recommend the debt settlement companies. Make sure you understand whatever process you pursue. Often we don't recommend taking a retirement distribution to pay off unsecured debt. If you do work out any of these plans please make sure you have a plan so that you do not fall back into unmanageable debt. 


Judgment Proof - You many not need to file bankruptcy

There are times when an individual may not need to file a bankruptcy. Bankruptcy is a shield to protect assets, including income. The bankruptcy code as well as federal and state law often allows an individual to protect assets from their creditors. Creditors often sue in state court to enforce a claim they when they are not paid. If the creditor prevails they can use the results of that lawsuit, called a judgment, to garnish or attach an individual’s wages and or place a lien on their real estate, including their home. If an individual owns no real estate and has no income that is regular wages that judgment often cannot be used against the individual. For example Social Security income and many retirement pensions cannot be attached by a creditors. So often a person who has no wages and owns no real estate a bankruptcy may not give them any more protection than they already have. It may be possible for a creditor to attach a bank account, but then could be forced to return those funds if they are social security funds. A bankruptcy would stop the telephone calls and harassment but that is not always a reason to file a bankruptcy. These kinds of bankruptcies are sometimes called a “comfort bankruptcy”. There are some exceptions to these general rules and therefore a competent bankruptcy attorney or consumer protection attorney should be consulted. Nancy V Jacob will only file a bankruptcy for a person with full disclosure of the benefits of the bankruptcy.