Chart a New Financial Course
If you are in debt and have met criteria set out by the IRS and California bankruptcy laws, you can eliminate debt by filing Chapter 7 and starting over. The good news is, as soon as you file for bankruptcy, creditors are prevented from trying to collect on your debts through an "automatic stay." The stay preserves your property and gives you a break from being sued. Best of all, filing Chapter 7 bankruptcy creates an opportunity for financial freedom in the future.
How Do I File Chapter 7?
For an attorney with experience filing bankruptcy, contact me to help you steer your course. My office is located in downtown Pasadena, California. When you meet with me, I will guide you through the steps of filing Chapter 7.
Initially, you will need to undergo a "means test" to determine your financial picture. From there, we will file an official petition.
The court will appoint a trustee to gather and sell your nonexempt property.
The proceeds from the sale pay your creditors and you're able to keep any "exempt" property. This is a critical step and one that I can help you determine. In California, there are two exemption schemes, and I will counsel you on the best option.
Can I Regain My Credit?
Once you have completed the process of Chapter 7, it is in your best interest to start building credit so you can once again obtain a loan or premium credit cards, among other loan tools.
Credit cards — Of course, creditors want to avoid not being paid in bankruptcy. Conversely, they also want your future business. Many will allow you to keep your credit card for use after bankruptcy if you enter into a new agreement.
Mortgage loan — With most lenders, debtors who filed bankruptcy can qualify for a loan on the same terms as if they hadn't filed bankruptcy. If, say, you lost your job and then became employed post bankruptcy showing stability, you may qualify with the help of a down payment.
Meet With a Dedicated Bankruptcy Lawyer
To discuss your financial situation, make an appointment with me at 626-376-9874 to receive a free consultation. I serve individuals, families and businesses throughout Pasadena and Los Angeles, California areas.
If you are still unsure about filing Chapter 7, and would like more information about bankruptcy alternatives, I can explain viable options.
How Long Does it Take?
The timeline for filing bankruptcy varies. However, our bankruptcy timeline gives you a general idea.
