Short answer: sometimes. In certain circumstances, bankruptcy attorneys may choose to take payment plans for their legal services. However, these circumstances are limited and should be discussed with your bankruptcy attorney. Chapter 13 bankruptcies are the most common example of making payments on bankruptcy attorney fees. In Chapter 13 bankruptcy cases a portion of one’s attorney fees are repaid as part of a 36 to 60 month debt repayment plan. About 12% of all bankruptcy filings near Toledo, Ohio are Chapter 13 bankruptcies.

Simple answer: In most cases, yes you can keep your house in bankruptcy. There are some exceptions which we will discuss further. Under Ohio bankruptcy law, a debtor can protect $145,425 of equity in her home. This exemption can double if you are filing a joint chapter 7 bankruptcy and both debtors are on the deed. For example, a single debtor files chapter 7 bankruptcy. Let’s say her home is worth $250,000. Her mortgage balance is $150,000. This leaves $100,000 of home equity. By applying the Ohio homestead exemption, there is more than enough protection ($145,425) to protect the equity in this home. As an alternative, those debtors involved in a chapter 13 bankruptcy repayment plan do not face the risk of losing their home so long as they are making their timely payments. Finally, it is important to note the importance of staying current on one’s mortgage payments. Regardless of bankruptcy, one can lose his or her home via foreclosure if the mortgage payments are not timely made to the mortgage company.

Simple answer: Most bankruptcy debtors are able to keep their vehicles after filing bankruptcy. There are some exceptions which we will discuss further. Under Ohio bankruptcy law, a debtor can protect up to $4,450 of equity in his or her primary vehicle. A debtor must be on the vehicle title to use this Ohio motor vehicle exemption. For example, a single debtor files chapter 7 bankruptcy in Ohio. His vehicle is worth $20,000. The outstanding loan balance on the vehicle is $18,000, leaving $2,000 in exposed vehicle equity. By applying the Ohio motor vehicle bankruptcy exemption of $4,450, the protection is more than enough to protect the vehicle’s equity. If needed, a joint debtor who is also on the same vehicle title can also apply an additional $4,450 in bankruptcy equity protection. Alternatively, in chapter 13 bankruptcy, a vehicle is not at risk as the debtor continues to make monthly vehicle payments, typically via the Bankruptcy Court. Regardless of bankruptcy, one can lose his or her vehicle by repossession if timely payments are not made to the loan company.

Everyone has a distant relative who is best friends with a bankruptcy attorney, right?  There’s a safer and better way to choose a Toledo bankruptcy attorney that is right for you.  Choosing the right Toledo bankruptcy attorney is important to the success of your case. Since the attorney/client relationship may last from months to years in bankruptcy matters, it is important to choose a Toledo bankruptcy attorney that you are comfortable with.  We suggest finding a bankruptcy attorney who has these attributes:  Experience (10+ years); Price (middle range, but not overpriced); Personality (easy to get along with); and demonstrated client success (client review).

While there may be a few documents that are unique to your bankruptcy, here is a basic list of required documents needed before filing for bankruptcy relief: 2 years tax returns (federal and state); 6 months of paystubs; 6 months of bank statements; copy of vehicle registration or title; list of creditors (loose bills and credit report); and a credit counseling certificate.

Yes, as a bankruptcy debtor you can file alone or with a spouse.  The choice is yours, however we suggest that you first have a discussion with your bankruptcy attorney about whether or not to include your spouse in a bankruptcy.  Sometimes, the experienced bankruptcy attorney may offer insight that will help maximize the fresh start in your home.  There is no extra charge to add a spouse to your initial bankruptcy filing.

By working closely with your bankruptcy attorney, it is possible to remove the fear and anxiety of going to Court.  Your Chapter 7 bankruptcy attorney will take the time to discuss  what will happen at the Meeting of Creditors as well as any other hearing that may arise during your case. The most common Chapter 7 bankruptcy hearing is the Meeting of Creditors.  Typically, this hearing is held about 7 weeks post filing and your bankruptcy attorney will sit beside you.  The Meeting of Creditors is an opportunity for the Bankruptcy Trustee to ask you some basic questions about your income, assets, and liabilities so that they may properly administer your bankruptcy estate.  An average length for the Chapter 7 Meeting of Creditors is 6-12 minutes.  At France Law Group, we stand with our clients and work hard to ease any anxieties about attending Court.

About 88% of all bankruptcy filings in Toledo, Ohio are Chapter 7 bankruptcies.  This type of bankruptcy is often referred to as liquidation.  We encourage all clients to have a discussion with our bankruptcy attorney about asset values, with a focus on whether or not a particular asset has excessive equity beyond the protections offered by law (“exemptions”).  Under current bankruptcy laws, it is becoming less common for a debtor to lose their home or primary vehicle.

Every bankruptcy case requires two credit counseling certificates, one prior to filing and a second about 2 months after filing your bankruptcy.  There is no need to leave your home and attend boring lectures.  Most credit counseling certificates can be earned via online courses,  costing about $15.00 per course.  Some course providers also offer telephonic course options.  The online courses take about 60-90 minutes.  Upon successful course completion, your Court approved course provider will email a copy of your certificate to your bankruptcy attorney.

At France Law Group, we pride ourselves on being honest and helpful to all of our clients.  Sometimes that means we suggest non-bankruptcy alternatives, including referrals to outside resources when appropriate.  Individual creditor negotiations may be appropriate in situations where a debtor has a small number of creditors and simply needs help negotiating a reasonable payment plan.