Bankruptcy in Ohio
If you’re an Ohio resident buried under bills, facing creditor harassment, or worried about losing your home, you’re not alone. Financial hardships like medical emergencies, layoffs, or rising living costs can derail even the most careful plans.
Filing for bankruptcy can stop foreclosure, end collection calls, and eliminate many types of debt. But filing isn’t just paperwork—it’s strategy. Ohio has specific exemption laws that determine what property you can protect.
That’s where we come in. We help Ohio residents connect with experienced bankruptcy attorneys who know the local laws and can help you make smart decisions. If you’re ready for a fresh start, take the first step today.
Types of Bankruptcy in Ohio
Bankruptcy is a legal option designed to give individuals and businesses a second chance when debts become unmanageable. Filing can erase some or even all of your financial obligations, depending on your situation. In OH, you’ll need to show that you’re facing a real financial hardship that makes it impossible to stay current on your obligations.
If you’re struggling with mounting debt, you may be eligible to file under Chapter 7, Chapter 11, or Chapter 13. Navigating these options can be complicated, so it’s smart to work with an experienced bankruptcy attorney.
In Ohio, bankruptcy cases are handled by the U.S. Bankruptcy Courts for the Northern and Southern Districts of Ohio. Your case will be assigned based on where you live, with court locations in cities like Cleveland, Akron, Columbus, Cincinnati, and Dayton.
Chapter 7 Bankruptcy
Chapter 7 bankruptcy can be a strong solution for individuals who need a clean financial slate. It gives people a chance to eliminate overwhelming debts and start rebuilding. However, before you file, it’s important to take an honest look at your income, expenses, and ability to repay what you owe.
Those who qualify for Chapter 7 typically have unstable income or have gone through major life changes. While it can wipe out most unsecured debts, it does come with a price. You may have to give up certain assets like a car, home equity, or other property.
Filing triggers an automatic stay that puts a temporary stop to most collection actions, including foreclosures and wage garnishments. However, not all debts are erased. Obligations like child support or criminal restitution will survive the bankruptcy process.
In Ohio, qualifying for Chapter 7 bankruptcy involves passing the means test. It assesses whether your income falls below the state’s median levels. As of 2025, the median annual income thresholds are:
- 1-person household: $61,148
- 2-person household: $77,214
- 3-person household: $94,173
- 4-person household: $116,462
- Each additional person: Add $9,900
Chapter 11 Bankruptcy
Chapter 11 bankruptcy is a more involved process compared to other types of bankruptcy. It is typically used by businesses or individuals with significant debts or complex financial structures.
Instead of wiping out debts entirely or forcing a sell-off of assets, Chapter 11 focuses on creating a reorganization plan. This plan usually spans four to eighteen months and is designed to make debts more manageable.
Filing for Chapter 11 bankruptcy means putting together a full and accurate picture of your financial life for the court and your creditors to review. Filing correctly is crucial—mistakes or missing paperwork can stall your case or cause it to be dismissed entirely.
The key forms you’ll need to submit include:
- Voluntary Petition for Individuals Filing for Bankruptcy (Form B101)
- Summary of Assets and Liabilities (Form B106)
- Schedules A/B through J (covering your property, debts, income, and expenses)
- Statement of Financial Affairs (Form B107)
- Chapter 11 Statement of Current Monthly Income (Form B122B)
- Creditor Matrix (a complete list of all creditors with contact information)
- Schedule of Executory Contracts and Unexpired Leases (Form B106G)
- Proposed Disclosure Statement and Reorganization Plan
Chapter 13 Bankruptcy
The “wage earner’s plan” gives individuals with steady income a way to reorganize their debts without losing assets. In OH, after you file, a court-appointed trustee will review your income, assets, debts, and ability to make payments. From there, you’ll propose a repayment plan that typically spans three to five years.
The flexibility of your plan will largely depend on the assets you want to keep and how reliable your income is. Completing the plan successfully could also lead to some or even most of your remaining unsecured debts.
The Bankruptcy Process in Ohio
Waiting for the “perfect” time to file for bankruptcy often means waiting too long. If you know you can’t realistically pay off your debts within the next five years, taking action now can minimize the damage. Bankruptcy isn’t about giving up—it’s about giving yourself a real chance to rebuild.
In Ohio, starting the bankruptcy process means getting organized right away. You’ll need to gather complete documentation of your financial life. The court relies on this information to properly evaluate your case. Missing details or incomplete paperwork can slow down your case—or worse, cause it to be thrown out before it even gets started.
Ohio mandates the use of state-specific exemptions to determine which assets you can protect during bankruptcy. These exemptions are crucial in safeguarding essential property:
- Homestead Exemption: Protects up to $182,625 of equity in your primary residence.
- Motor Vehicle Exemption: Up to $5,025 in equity for one motor vehicle.
- Cash on Hand or Deposit: Exempts up to $625.
- Household Goods: Up to $16,850 in household items, with a maximum of $800 per individual item.
- Jewelry: Exempts up to $2,125 in jewelry.
- Wildcard Exemption: Allows exemption of up to $1,475 in any property of your choosing.
- Tools of the Trade: Up to $2,825 for tools and equipment necessary for your profession.
- Personal Injury Awards: Exempts up to $31,650 received within 12 months before filing.
- Retirement Accounts: Most tax-exempt retirement accounts, including 401(k)s and IRAs, are fully protected under Ohio law.
- Public Benefits: Full exemption for unemployment compensation, workers’ compensation, and disability assistance payments.
Work With an Experienced Ohio Lawyer
Ohio’s bankruptcy laws offer important protections that can allow you to keep the property you need while addressing the debts you can no longer manage. But filing is more than just paperwork—it’s about choosing the right strategy to protect your interests and set yourself up for real, lasting stability.
Submit a request online or call us today at (866) 345-6784 to speak with an experienced lawyer in your area!
About the Author
Aaron is a professional legal writer with a B.S. in English Education from Southern Illinois University – Carbondale. He has written, published, and edited thousands of legal articles for RequestLegalHelp, which has connected over 5 million people to legal help in the United States.
With over five years of experience writing thousands of legal articles for law firms across the U.S. and Canada, Aaron specializes in covering federal, state, and city-level legal issues ranging from auto accidents to wrongful terminations.
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