Norco Bankruptcy
Lawyer
Norco Bankruptcy Attorney
If you’re feeling overwhelmed by debt that just keeps piling up, you can have a brighter financial future. Our skilled Norco bankruptcy lawyer at the Law Office of Christopher P. Walker is here to guide and support you as you regain control of your finances.
What Is Bankruptcy?
Bankruptcy helps individuals and businesses who are overwhelmed with debt start over. It is governed by federal laws instead of state laws.
Types of Bankruptcy
Chapter 7 bankruptcy, also called liquidation bankruptcy, allows you to discharge most unsecured debt and liquidate some of your assets. During this process, a court-appointed trustee takes control of the debtor’s non-exempt assets and sells them to the creditors.
Some of the debtor’s assets are exempt from this liquidation, including the following:
- Personal belongings
- Vehicles up to a certain value
- Home equity
- Retirement accounts
- Social Security and other government benefits
- Wages earned after filing
- Tools or equipment required for you to do your job
- Life insurance policies
- Personal injury awards
If the debtor’s non-exempt, liquidated assets are insufficient to cover debts, the case is classified as a “no-asset” case, and unsecured creditors will receive no payments.
Under the Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCA), debtors have to meet specific income thresholds and participate in mandatory credit counseling sessions. After the process is complete, usually within a few months, the debtor is released from any liability toward the debts.
You need to meet the following requirements to be eligible for Chapter 7 bankruptcy:
- You must be an individual, married couple, or small business owner.
- You must meet the Means Test income requirements.
- You must not have filed for Chapter 7 in the last eight years or Chapter 13 in the last six years.
- You must not have had a recent Chapter 7 case dismissed due to fraud, abuse, or court order violation.
- You must complete pre-bankruptcy credit counseling.
If you are not eligible for Chapter 7 in California, you might be eligible for Chapter 13.
Chapter 13 Bankruptcy
With Chapter 13 bankruptcy, a debtor is allowed to reduce or eliminate many of their debts, then combine the rest into one repayment plan that lasts 3-5 years. This type of bankruptcy allows debtors to keep their property and other assets while still settling their debts.
To be eligible for Chapter 13 bankruptcy, you need to meet these requirements:
- Your combined secured and unsecured debts must be less than a certain amount.
- You must have a regular source of income.
- You must have enough disposable income to make monthly payments.
- You must not have filed for Chapter 13 bankruptcy within two years or Chapter 7 within the past four years.
What Will a Bankruptcy Lawyer Help Do?
A seasoned bankruptcy attorney can provide invaluable support throughout the bankruptcy process.
Help You Prepare for Bankruptcy
The court requires debtors to provide detailed financial information, including debts, income, expenses, assets, and recent transactions. This process can be overwhelming, but your attorney can be there to help you navigate the process. They know what information is necessary and can help ensure it is disclosed accurately.
Guide You Through Your Case
An attorney can explain and prepare you for what’s to come in the bankruptcy process. They can educate you on the process, the role of the bankruptcy trustee and judge, and what your creditors are allowed to do.
Give Accurate and Complete Information
When signing bankruptcy paperwork, you must agree under penalty of a jury that the information you provided is accurate. During the meeting of creditors and any court appearances, you will be required to swear by the accuracy of the information. Your attorney can be present to guide you and ensure your testimony is complete.
Negotiate and Handle Your Creditors
Once you file for bankruptcy, an automatic stay is immediately imposed, which means all collection efforts from creditors must stop. Your attorney can ensure this is enforced and be the primary point of contact on your behalf. They can verify the accuracy of your debts, negotiate payment plans or settlements, and respond to any inquiries or concerns from your creditors.
If needed, they can also represent you in court hearings and advocate on your behalf while ensuring your interests are protected and the entire process runs as smoothly as possible.
FAQs
Q: Will I Lose My House if I File for Bankruptcy in California?
A: California has bankruptcy exemptions that protect your home when you file, so in most situations, filers will not lose their home. In Chapter 7, The Homestead Exemption allows the filer to protect a certain amount of equity in their home from creditors. For Chapter 13, your repayment plan allows you to keep all of your assets.
Q: What Type of Bankruptcy Can I File in California?
A: In California, individuals can file for Chapter 7 or Chapter 13 bankruptcy. Chapter 7 is the liquidation of some of your assets to pay off creditors, and most eligible debts are discharged. Chapter 13 allows a repayment plan to pay off the debts over 3-5 years, and you can keep your assets.
Q: How Much Does Chapter 7 Bankruptcy Cost in California?
A: The cost of Chapter 7 bankruptcy in California is different from case to case. There are standard fees for filing with the court and filing credit reports, but most of the costs go toward attorney fees. You will also have debtor education course fees and potential administrative fees for selling assets.
Q: How Will Bankruptcy Affect My Credit Score?
A: Bankruptcy will have a significant impact on your credit score up front, but over time, as you make payments and discharge debts, your credit score will recover. Keep in mind that bankruptcy stays on your credit report for 7-10 years, depending on the Chapter filed. Bankruptcy can feel like a setback, but it is a big step toward a more free financial future.
Don’t Let Your Finances Hold You Back, Contact the Law Office of Christopher P. Walker
Bankruptcy can be a lifeline for those struggling with overwhelming debt. It offers a chance to wipe the slate clean, relieve the stress, and rebuild your future. Contact the Law Office of Christopher P. Walker today for a consultation.
From Our Clients
After years of putting off doing a will... we now can rest assured our family estate is legal and ready when we need it.
I found Mr. Walker on the net and am confident to recommend him for legal matters. Office staff was very attentive.
Hurray we finally did it!!!
- Tess
I've been through difficult times so I hired Mr. Christopher Walker to help me, I am very impressed the way he does business. He explains everything in a very professional way he did excellent job for me. I don't know many attorneys out there that answer they're office phone but he does and he returns calls quickly.
- Carlos C.
I have been working with Chris for at least 5 years. He helped us with our Trust. He is transparent and listens. I would recommend him highly.
- Octavio N.
I am not a man known for being a word smith so I am going to put it simply. The hardest year of my life has finally ended on a very high and happy note. Mr. Walker and Laurie are the best partners anyone could ask. They work tirelessly and made the difficult confusing process easy to understand and the clouds have now cleared! Thanks for everything.
- Justin C.