Stop Foreclosures, Garnishments. Get your life back!
Get peace, financial freedom, and solutions.
Become Debt Free!

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Eliminate $25k, $50k, $100k in debt in 8-10 hours of your time,
improve your credit and net worth. Contact Nick!

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Nick Thompson Law: Louisville Bankruptcy & Foreclosure Defense

I’ll Help You…

Become Debt Free
Clean Up Your Credit
Increase your net worth
Provide for family instead of Creditors

I’ll Stop…

Foreclosures, phone calls
Lawsuits, Judicial Liens
Bank Garnishments
Wage Garnishments

We provide defenses for your home, assets, and income.
Improve your credit score, net worth, and provide for family.
Follow the following simple 3-Step Filing Process

Step 1 Documents

Gather your Documents. Trustees and Judges trust Debtors. But their job is to verify the petition from supporting documents, which are required to file a bankruptcy.

Your Action: To file for bankruptcy, the court requires you to gather a simple set of documents.  The Judge and Trustee require these documents as proof of your finances. (tax returns, prior six months of pay stubs, bank statements, car titles, deeds and mortgages, Social Security cards, and your driver’s license). 

Here is the Checklist for Consumers. This is the document checklist for a small business bankruptcy. The Judge and Trustee cannot do their jobs without these documents to verify your petition. The documents should be in order and saved on a thumb drive in PDF format for us. We start cases by having you sign up for an intake that you complete at home.  To sign up, complete the form at the bottom of this page. These are the basic questions you will be asked at your hearing. This page has a more complete list.

Step 2 Credit Counseling

Every Chapter 7 or 13 case requires you to take a 1-2 hour online Credit Counseling before filing and a second Debtor Education course after filing to obtain the discharge.

Your Action: I like https://bkcert.com/, but prebk.com and other providers are cheaper. Our attorney code for prebk is NT 0905. It does not matter which provider you use, but you must finish the chat at the end, or they will not issue the certificate.  The court dismisses cases filed without first taking this course and obtaining the class certificate. You must take the second “Debtor education” class to get the discharge. 

We sit down with clients at the start to plan their goals.  At a second meeting, I will meet with you in person, download your intake, and prepare your petition.  You are never given over to a paralegal to prepare your petition.  I go to court with you, and I am with you every step of the way. I do fewer than 20 cases per month to give you attention.

Step 3 Online Intake

An easy, more accurate intake

Your Action: To save time & improve accuracy, fill out the form below. We will send you a link to complete your MyChapter intake. You can complete the intake at home 24 hours a day, listing income, expenses, assets, and debts.

Then make an appointment. I personally prepare your petition.  On filing, the “Automatic Stay” is activated, and foreclosures, garnishments, repossessions, and collections stop.

You will have a 341 Meeting about 4 to 6 weeks after filing: Four to six weeks after filing you attend a brief 341 Meeting via Zoom from our office.  The Trustee will conduct the hearing, but Nick will be right beside you.  He has done these hearings for over 35 years.

Fill Out Our Intake Form

Experience Matters

ABI statistics show 98%-100% of do-it-yourself Chapter 13 cases are dismissed.

Law firms nationwide complete or discharge only 40% of Chapter 13 plans.

Our KY Chapter 13 discharge or completion success ratio is over 60%.

Our success ratio for Chapter 7 discharge is over 99%.

Three Federal Banking studies prove the rich use the bankruptcy code to increase their wealth.
The Bankruptcy filing process was made for consumer bankruptcy, not just businesses.

“Individuals who file experience a sharp boost in their credit score after bankruptcy,
whereas the recovery in credit score is much lower for individuals who do not file for bankruptcy.”
— Federal Reserve Bank of New York

Chapter 7 Bankruptcy: Fast, Permanent Debt Elimination

Chapter 7 eliminates most unsecured debt—credit cards, medical bills, and personal loans.  It takes about 90 to 120 days and is the quickest and cheapest method to discharge your debt.

Do You Qualify? We search for allowed expenses to help you pass the Means Test and qualify for a Chapter 7.  Because a Chapter 13 pays a much higher fee, some offices may not work to get you qualified for a Chapter 7. Over 90% of Debtors should qualify for a Chapter 7. You can qualify by having a below-average income or by having no disposable income.

Protecting Your Assets: We maximize exemptions to help you keep your home and car. You choose whether to keep or surrender your car based on your needs. The federal exemptions are larger than the state exemptions and allow you to keep more property.  

Non-Consumer Debt Advantage: The Means Test is waived if over half your debt is business-related or incurred during military service. Other tests may also allow you to skip the means test and file as a 7. Did you become disabled recently? Your prior 6 months of income may not be relevant.

Chapter 13 Bankruptcy: Saving Your Home, Car, and Stability

Chapter 13 is essentially an interest free 3-5-year debt consolidation plan to catch up and manage secured and priority debts. Unsecured debt and the payments in default receive no interest for 5 years.

Stopping Foreclosure: We cure mortgage defaults over the plan’s term, so any foreclosure or default is cured by the end of the Chapter 13 plan.

Reducing Car Loan Debt: In Chapter 13 we can often perform a *Cram Down* on car loans over 910 days old to make them affordable.

Stripping liens, second mortgages: If you have been sued, we can often strip judicial liens on your home in a 7 or 13.  But in a 13, we can also strip off a second mortgage that has no equity when the house is worth as much as the first mortgage, or less.

Managing hard Debts: We have older income tax debts. I am a former tax prosecutor with a background in accounting and with a license #51 before the US Tax Court. Student loan payments stop or can be managed over 5 years in a Chapter 13.

Critical Defenses We Use to Protect Louisville Families

Ending Creditor Harassment and Seizures

Recapturing Attached Bank funds and Garnished Wages: We may be able to **recover funds** garnished from wages or bank accounts in the 90 days before filing.

Protecting Co-Signers: The Co-Debtor Stay protects Co-makers by repaying that debt at 100% in a Chapter 13.

Immediately Stopping Repossessions: We file quickly to get your car back or to have garnishment funds returned. If you wait too long, such as past a foreclosure sale, you are reasonably able to recover a home.

Immediately Stops Foreclosure sales:   If you file one minute after the auction, you lose the home. Don’t wait until the last minute.  It takes hours or days to 1) gather documents, 2) take the class, and 3) prepare the petition properly and file it. Use our intake to quickly and easily prepare from home.

Improving credit: Bankruptcy is a stepping stone not a tombstone to a 720 FICO score. Staying in default is worse than debt free.

We Are A Trusted Louisville Bankruptcy Attorney

Why Choose Nick C. Thompson as your Louisville Bankruptcy Attorney: Proven Experience & Trustworthy Defense

Louisville Bankruptcy Attorney

I take less than 20 cases a month to give you the attention it takes to get the best results. :

🔥 The Financial Edge: Former Tax Prosecutor: Nick knows how to bankrupt and manage tax and other difficult debts, such as student loans and mortgage foreclosures. 

🕰️ 35+ years of Consumer Defense: Since 1988 in West Virginia and 1991 in Kentucky, concentrating in Chapter 7, Chapter 13, and foreclosure defense.

⚖️ The Local Authority: Born in Louisville, KY, and a Former Assistant Bullitt County Attorney: With roots in both state and federal court in Jefferson County, Bullitt, and surrounding Kentucky counties.

Louisville Chapter 7 Chapter 13 Attorney
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Start Your Free Consultation Intake Form

To start your intake process, please provide your name, email address, and phone number. This will allow us to set up your intake, which you can complete at work, home, or while traveling.

Start Your Intake or Contact Us

To start your intake process, please provide your name, email address, and phone number. This will allow us to set up your intake, which you can complete at work, home, or while traveling.

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Louisville Kentucky Bankruptcy Attorney
Western Kentucky Bankruptcy Court

Nick Thompson Bankruptcy & Foreclosure Attorney
800 Stone Creek Pkwy #6,
Louisville, KY 40223

Office@Bankruptcy-Divorce.com  502-625-0905
Kentucky Bar Association #83381    Verify Bar Membership

Frequently Asked Questions

To file for bankruptcy, you must complete credit counseling from a government-approved agency. This counseling helps explore alternatives to bankruptcy. After completing the counseling, you will receive a certificate that must be filed with the court. The next step is to file a petition with the bankruptcy court, disclose all creditors and assets, and file the necessary forms, including the means test form. You will also need to pay a filing fee unless you qualify for a fee waiver. Failure to provide the required supporting documents, schedules or pay the required fees will result in your case being dismissed.

To protect your property in bankruptcy, you must apply exemptions. In 2026, the federal exemption for your home increased to $31,500, up from $25,000. If you have money in the bank, it’s advisable to pay ahead on your mortgage or utilities, or purchase needed appliances and repairs to prevent having excess funds that could be taken by the Trustee. States like Indiana and Kentucky have specific exemption rules. For instance, Kentucky offers a “wild card” exemption, allowing you to use part of your real estate exemption for other assets, such as money in the bank. Consulting with a qualified bankruptcy attorney is crucial to ensure you can discharge debt while keeping your property.

If you fall behind on your mortgage payments during a Chapter 13 bankruptcy, the mortgage company may file a motion for relief from stay. To address this, you can explain any temporary setbacks (such as illness) and outline a plan to catch up on payments over the next few months. However, if this happens repeatedly, the court will allow the creditor to pursue foreclosure or repossess a car. It’s important to plan carefully. Filing multiple cases will lead to the loss of your home or prevent you from filing another bankruptcy case. If you can’t afford a car or a home, ask your bankruptcy attorney about converting to Chapter 7 or adjusting your Chapter 13 plan. If you fail to pay plan payments, the Trustee will file to dismiss the case with similar results.

After filing bankruptcy, a 725 credit score after bankruptcy is possible with the right strategy. Start by avoiding too many credit accounts. Each one slightly lowers your score. Ensure you have a variety of credit types, such as a credit card, a car loan, and a mortgage. Always make payments on time, and the longer you maintain these positive habits, the better your score will be. Building both the depth and breadth of your credit history is key. While you can qualify for a mortgage with a score as low as 625, aiming for a score above 700 will help you secure the best rates.

If your income decreases or expenses increase during a Chapter 13 bankruptcy, you may be able to lower your monthly payments by modifying your plan. This can be done by filing a motion to amend the Chapter 13 plan, reducing payments to an amount you can afford. Additionally, if you face severe hardships like disability, after years of repayment, you may qualify for a hardship discharge if you can prove that your plan would still pay back as much as a Chapter 7 would have. In some cases, you can convert to Chapter 7 if your income is low enough, but you must consult with an experienced attorney to ensure that all options are considered and no property is at risk.

Income taxes can be discharged in bankruptcy if they meet certain conditions. Even if it can’t be discharged, it can be managed. First, the tax debt must be at least 10 years old, and you must have filed your tax returns on time with no fraud involved. If your tax return was filed late, you must wait at least two years after filing the return. Additionally, if the IRS has issued an assessment, you must wait at least 240 days after the assessment to file for bankruptcy. To determine if your taxes are dischargeable, you can request your tax transcript from the IRS or use software like Tax Determinator to check the exact dates. However, trust taxes (like withholding or sales taxes) cannot be discharged in bankruptcy.

Some debts are non-dischargeable in bankruptcy, including alimony, child support, and trust taxes. However, you may be able to manage them in a Chapter 13 plan by prioritizing their payment. Income taxes can be discharged if they are at least three years old, filed on time, and no fraud is involved. Student loans can also be discharged in cases of undue hardship, which means the loans would prevent you from meeting basic life necessities. Additionally, some private student loans can be discharged if the statute of limitations has expired. If you are unsure, consult a bankruptcy attorney to see if your debt qualifies for discharge under bankruptcy rules.

The 341 hearing is where the bankruptcy Trustee reviews your petition to ensure accuracy. The Trustee will ask about your assets, income, debts, and any transfers of property within the prior two years. It’s a straightforward process, and creditors rarely attend. These are the common questions. The supporting documents must be filed with your petition to allow the Trustee the ability to do his job. If the documents are not supplied with the petition, or the petition is inaccurate, the case will be dismissed. You may not be able to refile to correct mistakes. ABI surveys show that debtors who file do-it-yourself Chapter 13 cases are dismissed over 98% of the time. Here is the Document Checklist for Consumers. This is the document checklist for a small business bankruptcy.

Chapter 7 is the quickest, cheapest, and easiest bankruptcy option for individuals with limited assets and income. Chapter 7 usually takes only 4 months, and you normally will have completed your part of a 7 within 60 days. Chapter 13 typically takes 3-5 years, allowing you to manage debts such as income taxes, student loans, and mortgage arrearages. Chapter 13 can help you catch up or manage secured and priority debts. Chapter 11 is often for businesses or high-income individuals with debts over $1.4 million, but it’s expensive and has a very high failure rate. Chapter 7 is ideal for those with a small or average income, little or no assets, and primarily unsecured debts, such as credit cards and medical debt. Chapter 13 is better for individuals who want to keep their home and have substantial equity in the home, or who have difficult debts such as homes in foreclosure, tax debts, or student loans in collections.

If you file for bankruptcy, your spouse does not have to file with you, and their credit will not be affected by your filing unless a debt is cosigned. However, their income will be considered in the means test to determine if you qualify for Chapter 7 or 13. If you have a co-signer, such as a parent on a car loan, you can file under Chapter 13 and ensure the debt is paid in full through your plan, protecting the co-signer. You can also choose in a Chapter 13 to pay a co-signed debt directly and on time so their credit is uneffected. It’s important to consult an experienced attorney to determine the best approach for including or protecting your spouse or co-signer in your bankruptcy.

To file Chapter 7 bankruptcy, you must complete credit counseling, file a petition listing your budget, assets, and debts, and supply supporting documentation. Chapter 7 is a liquidation bankruptcy where non-exempt property may be sold to pay creditors, but most debts will be discharged. For Chapter 13, you must also propose a repayment plan over 3 to 5 years to catch up on secured and priority debts like a mortgage, car loan, or income taxes less than three years old. Chapter 13 allows you to keep more property than a 7, and you may discharge some non-dischargeable debts. Both Chapters require a filing fee, schedules and documentation.

To avoid foreclosure, you must take immediate action after receiving a foreclosure lawsuit. First, hire a foreclosure attorney. Hires someone who only handles foreclosure and bankruptcy cases. Someone who knows what he is doing. The lender’s attorney works for the bank. He will not offer you helpful advice on suing the lender or on not paying the lender. He will offer you advice that will make it easier for him to foreclose the property. You may want to file a Chapter 13 and catch up on your mortgage payments. That is often the quickest, easiest, and most effective way to deal with a foreclosure. If you can’t afford the home you will need other options such as a Chapter 7 or 20. Eliminating unsecured debt may allow you to afford the home.

Your attorney may choose to fight the foreclosure and answer the complaint to ensure you receive all notices and updates. You may be able to reinstate your loan by catching up on missed payments, apply for a mortgage modification, or negotiate with your lender. Even after a judgment, you still have rights, including the right to sell your home. Anything is better than losing about 40% of the equity in your home at a foreclosure sale. A foreclosure will mean that you will be unable to finance another home for about 3 years after the foreclosure sale and transfer of the home for FHA and VA financing, and 7 years for conventional financing. A bankruptcy discharge will only prevent you from financing for about 2 years. A foreclosure will have a stronger negative effect and longer-lasting effect than bankruptcy on your credit.