The Pirnia Law Office is dedicated to the representation of people suffering under financial stress. Everyone is this situation begins to feel as if they will never be able to overcome their debts. Through bankruptcy you can put an end to your financial problems and discover the path to financial freedom. The moment your bankruptcy is filed, the Court enters an Automatic Stay, which precludes further collection activities against you. You will then be able to focus on building your new financial life.
Why File Bankruptcy
1. Wipe away credit cards, medical bills, collection accounts, most payday loans, old utilities, foreclosure deficiencies, repossessed deficiencies, and most judgements.
2. May eliminate old tax debt.
3. Stop Creditors from harassing you with phone calls and letters.
4. Stop Foreclosures on your house.
5. Stop vehicles from being repossessed.
6. Stop lawsuits and judgements.
7. Stop wage garnishments.
8. Stop liens being put against your property.
9. Stop utilities from being shut off or have them restored if they are turned off.
10. Stop most judgments that suspend your drivers license.
11. Wipe out reinstatement fees owed to the Ohio BMV.
12. In certain circumstances, lower the amount you owe on your vehicle or strip second and third mortgages in a Chapter 13.
13. Allow you time to catch up on your house payment with a Chapter 13.
A Chapter 7 Bankruptcy is sometimes called a “liquidation” or "fresh start" bankruptcy. The basic idea behind Chapter 7 is to eliminate unsecured debts (examples include medical bills and credit card debt) and allow you to get a fresh start financially. In a typical Chapter 7 case, most of your debts are wiped out and are not repaid to creditors. Certain debts are usually not discharged, such as student loans, child support, spousal support, recent tax debts, and debts incurred by fraud. In a Chapter 7, you get to keep different kinds of property up to certain statutorily described values and you turn over the rest of your non-exempt property to the bankruptcy trustee, who sells all non-exempt property and pays the money to your creditors. Once the Bankruptcy Court grants you a discharge, your creditors will not be able to force you to pay on any debts discharged.

By filing a Chapter 7, you can stop all wage garnishments against you. You can only receive a Chapter 7 discharge once every 8 years. Your attorney fees and filing costs must be paid before filing the Chapter 7. If you have a house with a mortgage or vehicle with a loan and you want to keep the house or vehicle, you must be current on the payments and continue to make your regularly monthly payments during and after the bankruptcy. In a Chapter 7, you may lose some or all of your income tax refund depending on when you file your bankruptcy. Money owed as part of a property settlement in a divorce action cannot be discharged in a Chapter 7, but can be discharged in a Chapter 13.
In a Chapter 13 bankruptcy, sometimes called a “wage earner’s plan,” you still get to keep most of your property but you have to use your income to pay some or all of what you owe to creditors, in payments that are made over time, usually three to five years. You make payments until the end of the plan and any debt balance that is still owed is wiped out. The individual filing bankruptcy under Chapter 13 must be able to fund a payback plan and meet certain debt and asset limits. A Chapter 13 Bankruptcy at its essence, is a consolidation of your debts into one affordable monthly payment. Under Chapter 13 bankruptcy, an individual debtor would submit a plan detailing how all of his or her debts will be paid from disposable monthly income (income after providing for ordinary living expenses) over a period of time of up to five years. Upon the successful conclusion of payments under the plan, the bankruptcy court enters a discharge order. A Chapter 13 debtor must pay the creditors at least as much as they would receive if the assets were liquidated in a Chapter 7 case. In that way, Chapter 7 and 13 bankruptcies are treated equally.
Under a Chapter 13 bankruptcy, a person can save their home if it is in foreclosure, keep their car even if they are behind on their payments. In a Chapter 13, you may be able to eliminate or reduce a second mortgage. You may also be able to reduce the interest and principal on your motor vehicle. You can protect any co-signer on your secured debts from any liability during the bankruptcy plan. A divorce property settlement may be discharged in a Chapter 13 bankruptcy. Most of the attorney fee can be paid through the plan. All or part of your tax refund each year may be taken by the trustee to pay your creditors.

To determine what kind of bankruptcy you qualify for, your income and expenses will be analyzed. This is called a “means test.” The means test is a test designed to determine whether you have extra income that could be paid to unsecured creditors. To apply the means test, the law looks at the your average income for the 6 months before the bankruptcy filing and compares it to the median income in Ohio for your family size. If your income is below the median income level, then you may file a Chapter 7 bankruptcy. If your income is more than the median income level, then the remaining parts of the means test will be applied to determine if you can file Chapter 7 or if you must file a Chapter 13. The means test works by taking your monthly gross income and subtracting from that amount all necessary taxes, your monthly auto and mortgage payments, and all government designated local and national standards for averaged monthly living expenses (not your actual expenses). The number at the end of all this subtraction is supposed to be the amount of disposable income you have available to repay unsecured creditors per month.  You will probably still be able to file a Chapter 7 bankruptcy if your means test number is below $109.58 per month. If your number is higher, you may still be able to file a Chapter 7. If not, the other option is filing a Chapter 13 Bankruptcy. If more than 50 percent of your debts are business related debts, then you do not have to file a means test.

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

​Providing legal services to clients throughout the Miami Valley including: Dayton, Centerville, Kettering, Springboro, Beavercreek, Bellbrook, Englewood, Fairborn, Germantown, Huber Heights, Miamisburg, Miami Township, Moraine, New Lebanon, Oakwood, Trotwood, Union, Vandalia, Washington Township, West Carrollton, Xenia, Montgomery County, Greene County and Warren County.