Chapter 7 or
Chapter 13 bankruptcy in California can be advantageous for many Americans who face
steep medical bills, loss of jobs and homes, divorce, even high credit
debt. You can get immediate relief by filing for bankruptcy, but the skills
of a bankruptcy attorney in California can help ease the difficulty of
the complex process.
What is Chapter 7 bankruptcy and how can it help California residents?
What are the advantages of Chapter 13 bankruptcy? And what are the differences
between the laws?
First, it’s important to have the correct bankruptcy attorney to
see you through either Chapter 7 bankruptcy or Chapter 13 bankruptcy in
California. The laws are designed to provide immediate help . However,
not all bankruptcy attorneys are equal in the California area. Choose
your attorney wisely.
Advantages of Chapter 7 Bankruptcy
Bankruptcy involves Chapter 7 or
Chapters 11,12, and 13. Don’t let that confuse you, as 11, 12, and 13 are very
similar. Chapter 7 is called liquidation, and is the most common of all
bankruptcy types in California and the country. In this case, a trustee
will sell assets and distribute it to those owed money.
The key advantages of Chapter 7 bankruptcy in California are, first, you
can eliminate most unsecured debts, if not all of them. Second, the process
can be completed in a matter of months with the right bankruptcy attorney.
Third, creditors you owe money to will not be able to contact you during
the process and after the debts are eliminated.
Another advantage is that you can qualify in most cases simply for Chapter
7 bankruptcy in California. You take a “means test” and file
with a credit counselor to be eligible in California.
Advantages of Chapter 13 Bankruptcy
You can also find relief for big debts and headaches via Chapter 13 bankruptcy,
which has many advantages and some differences with Chapter 7 bankruptcy.
It’s still wise to work with a knowledgeable bankruptcy attorney
With a Chapter 13 bankruptcy filing, the debtor is allowed to use future
earnings to pay off the creditors. Under Chapter 13 bankruptcy, you also
use a trustee to supervise the assets of the debtor. The first key advantage
is that creditors are not allowed to contact you for debts owed anywhere
but the proceeding.
The second advantage is that Chapter 13 bankruptcy in California buys you
more time to pay off creditors. This can save you from losing property
or worse. Typically you get 3-5 years to pay off the debts owed. And no
creditors will be allowed to contact you during this time span where you
are paying them back.
So who can file Chapter 13 bankruptcy in California? A knowledgeable bankruptcy
attorney in California can help you with this, but in short any debtor
who has unsecured debts below $336,9000 and whose secured debts are less
The First and Most Important Step
Hire a bankruptcy attorney in California who can walk you through the
entire process. The Chapter 7 and Chapter 13 bankruptcy laws allow you
plenty of help when plagued by debts. Give a qualified attorney at
Price Law Group a call today for bankruptcy help.