Kentucky foreclosures have affected 38,000 children, according to a report that found the state’s poverty and economic woes have led to one of the worst child-health rankings in the nation.
Our Louisville bankruptcy attorneys note it is the latest report on the impact of the struggling economy on our young people. We recently reported on our Kentucky Bankruptcy Lawyers Blog about the high number of students struggling to pay student loans.
Meanwhile, recent reports indicate the average family is able to save only 16 percent of a child’s college education, down from 24 percent just a few short years ago. And the U.S. Department of Labor is reporting teens are having trouble finding jobs — in part because under-employed adults are filling positions often occupied by our youngest workers.
The most recent report ranked Kentucky 41st in overall child well-being. Twenty-six percent of children were living in poverty — the third-highest in the nation. Only four states had more households where one parent was unemployed. Families are being squeezed financially from every direction. No parent wants a child to feel the impact of financial problems. If you are struggling with bad mortgage debt, real estate debt or credit card debt, we encourage you to get proactive and meet with a Kentucky bankruptcy attorney to discuss your options.
Kentucky residents are seeking Chapter 7 bankruptcy protection in record numbers — and with good reason. A bankruptcy filing can stop foreclosure, stop garnishment of wages or other collection efforts — even stop phone calls and other creditor harassment. You and your attorney can then decide the best course of action to secure your financial future. In many cases, you can keep your home or car if it makes financial sense to do so. Most retirement accounts are also protected from seizure.
Chapter 13 Bankruptcy in Louisville is another option. It allows a consumer to establish a repayment plan over 3 to 5 years; most unsecured debts that remain unpaid are forgiven at the end of the plan. Large assets, such as houses, brokerage accounts and family businesses are not impacted.
Filing for bankruptcy can be particularly beneficial for residents dealing with mortgage foreclosure. It will stop the foreclosure process and allow you to remain in the home rent free through the conclusion of your case.
The 38,000 children dealing with foreclosure in Kentucky was less than the national average — but even that was not good news. Pollsters say that’s likely because so many families have already lost their home to foreclosure, combined with the fact that the state has always had a high number of renters.
Business First reports 1 in every 2,312 homes are in foreclosure in Kentucky.
If you need to speak to a Kentucky bankruptcy attorney or Louisville foreclosure defense firm, contact the Schwartz Bankruptcy Law Center at 866-270-4495 for a free and confidential consultation to discuss your rights.
-Kentucky one of the worst for child welfare, By Jenna Mink, Bowling Green Daily News.