Hillview runs on cars. More than nine in ten households here own two or more vehicles, and the average commute is close to half an hour each way.
Lose the car and you lose the job. That is why a repossession threat here is an emergency, not an inconvenience. Nick Thompson is a Hillview bankruptcy attorney and handles those cases the day they come in. He takes them on as a Louisville bankruptcy and foreclosure attorney.
Call 502-625-0905 for a free consultation.
The 910-day rule on car loans
This is the rule most people have never heard of, and it is worth real money.
If you bought your car more than 910 days before filing, a Chapter 13 repayment plan can cut the loan down to what the car is actually worth. That is called a cramdown. The rest of the balance becomes unsecured debt.
A truck worth $9,000 with $17,000 still owed is a common shape. Under a cramdown you pay the $9,000 through the plan. The interest rate usually drops too.
Buy the car inside 910 days and the rule does not apply. The purchase date decides it, so check your title paperwork before you assume anything.
If the car is already gone
Speed matters. Filing triggers the automatic stay, and we can ask the court to order the vehicle returned. That gets much harder once the lender sells it at auction.
Call the same day it is taken. Not the following week.
Kentucky repossession law runs under UCC Article 9, found in KRS Chapter 355. A lender that skipped a required notice may owe you money rather than the other way around.
After a repossession, the debt does not end
People assume surrendering the car closes the account. It does not.
The lender sells the vehicle, applies the proceeds, and sues you for the shortfall. That is a deficiency balance, and it is often thousands of dollars for a car you no longer have.
A deficiency balance is unsecured debt. Chapter 7 wipes it out.
Older homes and older mortgages
Hillview was assembled from the Maryville, Overdale, and Lone Acres subdivisions and incorporated on March 28, 1974. Much of the housing stock dates from that era.
Older houses mean repair bills, and repair bills mean credit cards and second mortgages. Kentucky filers may use the federal exemption list instead of the Kentucky bankruptcy exemptions. It protects $31,575 of home equity and $63,150 for a married couple filing together.
If you are behind on the mortgage, a Chapter 13 plan lets you catch up the arrears over three to five years while you keep living there.
What filing stops
The automatic stay begins the day you file personal bankruptcy in Kentucky. It stops wage garnishment, collection calls and letters, repossession, and a scheduled foreclosure sale. Most lawsuits stop as well.
A pending utility shutoff can be paused too.
Filing from Hillview
Bullitt County cases go to the Louisville Division of the U.S. Bankruptcy Court for the Western District of Kentucky, at 601 West Broadway. It is about fifteen miles up I-65.
You will not need to drive it. Your 341 meeting of creditors is held by Zoom video, so you attend from home.
Foreclosure and collection suits stay in Bullitt Circuit Court at the Judicial Center in Shepherdsville. That is where mortgage foreclosure defense happens.
Serving Hillview
Hillview had 8,622 residents at the 2020 census. It sits in northern Bullitt County where Preston Highway crosses into Jefferson County, with I-65 running along its eastern side.
We take cases from the Maryville, Overdale, and Lone Acres neighborhoods and from Zoneton.
Who handles your case
Nick Thompson has practiced law since 1988 and in Kentucky since 1991. He holds U.S. Tax Court License #51. He prepares each petition himself, so the lawyer reviewing your file is the one filing it.
Call 502-625-0905 for a free consultation.
Frequently Asked Questions
My car was repossessed yesterday. Can I get it back?
Can bankruptcy lower my car payment?
Do I still owe money after a repossession?
Do you serve Hillview and northern Bullitt County?
How fast can you file if a sale is scheduled?
Talk to a Bankruptcy Attorney
Call 502-625-0905 or visit the office at 800 Stone Creek Parkway, Suite 6, Louisville, KY 40223.