Chapter 13 Bankruptcy

No one starts out with a financial plan of filing for bankruptcy, but for decades many successful individuals and businesses have been able to survive tough economic challenges and work their way to prosperity and profit through a well-organized and executed Chapter 13 bankruptcy filing. The whole purpose of our state and federal bankruptcy laws is to provide talented, industrious individuals and businesses with a legal mechanism by which to survive difficult times so that unnecessary economic ruin can be avoided, and parties can manage their debt while remaining productive and beneficial members of our economy. At Access Lawyers Group, we are proud to help individuals, families, and businesses get on the road to financial recovery by helping them navigate the Chapter 13 bankruptcy and work towards efficient and prudent reorganization plans that reduce their debts and build their futures.

Filing for Chapter 13 in California

The main distinction between a Chapter 13 bankruptcy and a Chapter 7 filing is that a Chapter 7 filing discharges all dischargeable debts at the same that most of the filer's assets are liquidated, while, in a Chapter 13 filing, the debtor works with creditors to reduce debts and reorganize payment plans. The major upside of the Chapter 13 filing is that the debtor will keep the assets and does not have to liquidate them.

The major task in filing for Chapter 13 is to create a payment plan. Through this payment plan that our attorneys will work with you to create, you can lower the total amount of debt owed while lengthening the amount of time by which to pay back the debts. Once we file a Chapter 13 action on your behalf, we will present the payment plan to the bankruptcy trustee. That trustee will then call a 341 meeting to which your creditors are invited but not required to attend, and may then approve your payment plan. Once finalized by the bankruptcy court, your previous debts will be discharged in favor of your new payment plan.

Is Chapter 13 Right For You?

In deciding whether to file a Chapter 7 or 13 action, it is important to understand that many wealthier parties are ineligible for Chapter 7 actions based on their level of income. Furthermore, for those parties that want to keep their assets, whether they be debt-burdened assets like homes or vehicles or non-debt-burdened assets like cash and savings, then Chapter 13 is the right choice to reduce your debts while protecting your current assets.

Step-by-Step Guidance in Your Chapter 13 Action

At the Access Law Group, our Chapter 13 attorneys have significant experience working with individuals and businesses to start over and work towards a new future of economic prosperity, free from the high debt burdens of the past. Contact us today to schedule a consultation with one of our attorneys to see if the Chapter 13 process is right for you. For information on how our attorneys can help with Debt Management, see here.

Financial Management

A number of debt relief options are available to California consumers. Our experienced bankruptcy and debt relief attorneys can assist you with: