Early 40's female with single child has a full-time job and part-time job but is experiencing difficulties making ends meet. She lives in Terrytown, Louisiana. She has a secured vehicle loan that she is able to keep current but fears that a pending garnishment will result in her falling behind on her vehicle and ultimate loss of her transportation to and from work. She owes approximately $10,000 of dischargeable unsecured debt. The unsecured debt is made up primarily of medical bills and pay day loans. If her pay is garnished, under Louisiana law, the creditor is entitled to 25% of her pay. If that were to happen, she would no longer be able to pay her car note which would result in her inability to travel to work which of course would result in the loss of all income. Recommended course of action is to either file a chapter 7 bankruptcy to wipe out all of the dischargeable unsecured debt and continue paying the secured vehicle note or file a chapter 13 bankruptcy through which the secured car note would be restructured in the chapter 13 bankruptcy plan payment with a reduced amount being paid to the unsecured creditors. Both scenarios will stop the judgment creditor from being able to continue with the wage garnishment.
The attorneys and lawyers at the bankruptcy law firm of Kirkpatrick and Associates have helped good people through bad times in Southeast Louisiana since 1999. The parishes we serve are Orleans, Jefferson, Assumption, Lafourche, Plaquemines, St. Bernard, St. Charles, St. James, St. John the Baptist, St. Tammany, Tangipahoa, Terrebonne and Washington. So whether you live in New Orleans, Metairie, Gretna, Avondale, Chalmette, Belle Chasse, Slidell, Covington, Mandeville, LaPlace, Houma, Thibodaux, Luling, Ponchatoula, Hammond, Amite, Kentwood, Franklinton or Bogalusa, our bankruptcy lawyers and attorneys are here to help.