Bankruptcy Chapter 13 in California
Is your family struggling just to scrape by? Are you tired of sleepless nights and harassing calls from creditors? When it feels like your debts have taken over your life, filing for Chapter 13 bankruptcy can put you back in charge.
Chapter 13 reduces and reorganizes your debts into a 3-to-5-year plan that repays about 10% of your total debt. Instead of paying each creditor individually, you’ll make one manageable payment per month directly to a court-appointed trustee, and you won’t have to liquidate assets.
Call or text DebtStoppers today at 323-916-8660 to request a free debt analysis with one of our knowledgeable California attorneys. We will review your financial situation and help you determine if bankruptcy is the best solution for your money problems.
Chapter 13 Laws and Requirements
The bankruptcy laws in California include rules limiting who can file for Chapter 13. To qualify, you will be required to attend credit counseling with a certified counselor. You also must participate in an online debtor’s education class. DebtStoppers can make all of the arrangements for you, so you won’t have to find an accredited counselor or course.
What Happens When You File Chapter 13 in California
As soon as your lawyer files your bankruptcy petition forms in the closest California district court, the court will grant you an automatic stay. This court order will prohibit your creditors from engaging in collection activities such as:
- Wage garnishment
Your creditors won’t even be allowed to call you on the phone or send you a letter!
The Cost of Filing for Chapter 13
Because every family’s financial situation is different, the cost of our attorney fees will vary from case to case. Still, our rates are among the most reasonable in the Los Angeles area. We also offer affordable payment plans that will enable you to pay over time. On top of legal fees, the court will charge you a $310 filing fee when you submit your Ch. 13 petition.
Explaining the Means Test and Income Limits
Chapter 7 filers are required to pass the "means test” to qualify. This test assesses your family’s household and disposable income to ascertain whether you can afford to pay your creditors without bankruptcy. If your income is too high, you won’t qualify to discharge your debts in Chapter 7.
Luckily, California laws don’t place income limits on who can file for Chapter 13. This means that you can restructure your debts matter how much money you make. You won’t be turned away because of the size of your paycheck.
Don’t let your debts control your life! DebtStoppers has helped thousands of families start fresh and get back on the road to financial freedom. Call or text us today at 323-916-8660 to schedule a free consultation with one of our experienced California attorneys. We can help you take back control of your finances!
If debt has taken control of your life, a tailor-made DebtStoppers bankruptcy plan can put you back in the driver’s seat. Schedule a financial evaluation with one of our skilled California lawyers to learn more about your options for a second chance. Call or text us today at 323-916-8660 to get started on your fresh start.