Medical bills, credit card payments, car notes and mortgage payments can all take a toll on an individual. Many times, these expenses overtake the Kentucky consumer's life and makes one feel as if he or she is simply working to pay bills. However, rather than drowning in this sea of debt, over a quarter of a million Americans found a life raft in filing for bankruptcy, with Chapter 7 bankruptcy being the most popular.
Once one decides that Chapter 7 bankruptcy is the appropriate option, the next step is to file the necessary paperwork. When this happens, the judge will name a trustee to be responsible for liquidating the appropriate assets and paying creditors as funds are available. When this happens, an automatic stay goes into effect, and creditors are stopped from being able to attempt any further contact for collection efforts.