MCA & Business Debt Relief in Kentucky
Merchant cash advance rules vary by state, and Kentucky has its own on confessions of judgment, interest and disclosures. Here's how they affect a Kentucky business trying to get out from under MCA debt, and how Century Relief can help.
| Kentucky at a glance | |
|---|---|
| MCA disclosure law | No |
| Confessions of judgment | Pre-signed clauses generally void |
| Usury as a lever | Limited for business borrowers |
| Where we work | Louisville, Lexington and Bowling Green and statewide |
Kentucky businesses in restaurants, health care and manufacturing make up a large share of the MCA borrowers we help. Most have two or more advances by the time they reach out. Kentucky's manufacturers, restaurants and horse-country hospitality businesses often see uneven revenue, while MCA debits stay fixed.
If you miss MCA payments in Kentucky
A missed debit usually triggers the default clause. Expect calls to you and any personal guarantor, a demand for the full remaining balance, and possibly a lawsuit, often filed in New York because that's what most contracts specify. A New York judgment can then be domesticated in Kentucky and enforced against your accounts.
Good news on one front: Kentucky voids powers of attorney to confess judgment given before a lawsuit (KRS 372.140). For a Kentucky business, that means a funder generally has to file a lawsuit and win it before it can garnish your accounts here, which buys time to negotiate.
Kentucky rules that affect your settlement
Disclosures. Kentucky has no MCA-specific disclosure law, so funders aren't required to show you a standardized total cost or APR. We calculate it for you during your review.
Interest limits. Kentucky allows any agreed rate on loans over $15,000. Our leverage usually comes from your cash-flow reality, reconciliation rights and the cost of collection to the funder.
Nothing here is legal advice. If you've been sued or served, talk to an attorney; we can work alongside one.
How MCA debt relief works with Century Relief
- Talk to us first. A free consultation covers your advances, your revenue and your goals.
- Build a plan. Settlement, restructuring or refinancing, depending on what your numbers support.
- Work the funders. We handle the negotiations so you can run your business.
- Finish clean. Written settlements, paid-in-full letters and UCC terminations.
Ready to see your options? Get a free review of your MCA debt, or read the five main MCA relief options.
Frequently asked questions
Will MCA funders negotiate with a Kentucky business?
Often, yes. A realistic proposal backed by your bank statements gives a funder a reason to accept less or stretch the payments out, rather than chase a business that can't pay.
Can an MCA funder get a judgment against my Kentucky business without a lawsuit?
Kentucky voids powers of attorney to confess judgment given before a lawsuit (KRS 372.140). For a Kentucky business, that means a funder generally has to file a lawsuit and win it before it can garnish your accounts here, which buys time to negotiate.
Does Kentucky regulate merchant cash advances?
Kentucky has no MCA-specific disclosure law, so funders aren't required to show you a standardized total cost or APR. We calculate it for you during your review.
Do I need to be in Kentucky to work with Century Relief?
No. We're based in Jersey City, New Jersey, and work with business owners in Louisville, Lexington and Bowling Green and everywhere else by phone and video.