Defining Personal Bankruptcy in Indiana

     Personal bankruptcy is a great option to consider if you’ve found yourself in a tight bind with some serious personal debt. The debt can be incurred from any number of sources such as credit cards, medical bills, loans (personal or property), mortgage debt, and more. Personal bankruptcy is a way to start fresh, with a clean financial slate from any prior debts. Do keep in mind - personal bankruptcy only covers debt incurred by you, it does not account for debt incurred by a business or corporation you might own; or a municipality.

     There are two forms of personal bankruptcy offered: chapter 7 and chapter 13. Now, you might be wondering - What are the differences between the two chapters and how do I find out which one I could qualify for? The first step is to educate yourself as much as possible by consulting with a highly experienced personal bankruptcy attorney. There are numerous items to consider when determining eligibility, and it all starts with consulting a practiced lawyer, being informed on all of the options available specifically to you to ensure you are filing for the appropriate chapter of bankruptcy. The main variance in each chapter comes from your personal debts. In a chapter 7 the debtor is able to liquidate part or all of their debt. In a chapter 13 the debtor has to repay part of all of their debt based on a payment plan.

     Some important facts to keep in mind: in order to file for a bankruptcy, there are enormous amounts of documentation that must be procured in order to fill out and file the petition. The quicker the client is able to provide all of the information, the quicker the attorney may fill out the petition and submit it into the courts. Depending on which chapter of personal bankruptcy you will be filing, chapter 7 or chapter 13, there might be some key differences. Filing either petition takes time, the Trustee’s Office must receive it, review it and schedule a hearing date, also known as the Meeting of Creditors. In most instances, since a debtor is able to discharge all or part of their debt in a chapter 7, the case can conclude much quicker. For a chapter 13, since the debtor must repay all or part of their debt, typically it is processed during a 5-year payment plan. The plan is processed through the Trustee’s Office by making a monthly payment of a fixed sum until the agreed upon plan amount is repaid.

     It is also noteworthy to know the U.S. Bankruptcy Courts are both federally and state regulated. All attorneys and petitioners must abide by both federal and state rules and guidelines. In the state of Indiana, the Bankruptcy Courts are divided into several districts - meaning each county falls under the jurisdiction of a specific district. Furthermore, each district has their own Trustee Office that handles the bankruptcy cases filed within their district and the included counties. The Trustee is the appointed official that oversees the cases filed within their district and this is also why the different districts (along with their counties) have varying rules and procedures that must be carefully followed.

     Here at the Law Offices of Eugene Mogilevsky, LLC we are glad to serve the U.S. Bankruptcy Courts of the Southern District of Indiana! Check the list below to see if we service your county! If you’d like to schedule a consultation with our Personal Bankruptcy attorneys you can contact our office by submitting an online Contact Form at Contact Us | The Law Offices of Eugene Mogilevsky ( or you can call our office directly at (317) 743-7958 and one of our receptionists will be happy to schedule you for a phone consultation!

United States Bankruptcy Courts

Southern District of Indiana

Counties served include: Bartholomew, Boone, Brown, Clinton, Decatur, Delaware, Fayette, Fountain, Franklin, Hamilton, Hancock, Hendricks, Henry, Howard, Johnson, Madison, Marion, Monroe, Montgomery, Morgan, Randolph, Rush, Shelby, Tipton, Union, and Wayne.

Disclaimer: This blog post is for educational and informational purposes only and is not to be taken as legal advice in any capacity. Reading this blog does not constitute or establish an attorney-client relationship.

Reference: “United States Bankruptcy Court.” Indianapolis | Southern District of Indiana | United States Bankruptcy Court, Accessed 2 June 2023.

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