Chapter 13 Bankruptcy in San Diego
The attorneys at San Diego Bankruptcy Bulldogs help consumers find effective and manageable solutions to their financial troubles by securing an adjustment of their debts through a Chapter 13 Bankruptcy. If you need to save your house, your car, stop the IRS from garnishing your wages, bank accounts or other items, Chapter 13 Bankruptcy is where you can be protected from the creditors while you make scheduled repayments.
Although no determination can be made as to what type of bankruptcy is best for you without attending a free consultation with one of our experienced bankruptcy lawyers, the following should give you some helpful information.
Common reasons people typically file for a Chapter 13 bankruptcy:
- Due to household and income restrictions, the person simply does not qualify for a Chapter 7 bankruptcy because the client earns too much money for the size of his household.
- Home related issues: Often people owe more on their home mortgage than their home is currently worth because of a second or third mortgage on the home. In certain circumstances, the Chapter 13 bankruptcy lawyer can ask the court to remove these additional mortgages. This option is not available in a Chapter 7 bankruptcy.
- Previous Chapter 7 Bankruptcy: You cannot file a Chapter 7 bankruptcy in many cases if you previously filed a Chapter 7 Bankruptcy during the past 8 years. This applies to circumstances where the original bankruptcy actually resulted in a discharge of the debts.
- Chapter 13 payment plans are often preferable to garnishments in cases where people do not qualify for a Chapter 7 bankruptcy. Under California law, a creditor can garnish up to 25% of your paycheck. A Chapter 13 bankruptcy plan is an interest free plan of repayment based on what you can actually afford, rather than upon 25% of your income. Furthermore, all of your creditors are paid with a single monthly payment to the Bankruptcy Trustee rather than multiple payments to different creditors due at different times during the month. This payment satisfies all your debt obligations, rather than just one creditor being paid.
- Do you not qualify for Chapter 7 bankruptcy due to income or asset considerations, but you just can’t seem to make all your payments fast enough? Chapter 13 bankruptcy puts you back in control of your debt. Instead of having to pick and choose which debts to pay each month and which ones to skip, Chapter 13 Bankruptcy removes this concern by allowing you to make only a single payment each month.
Chapter 13 allows you to:
- Make interest free payments on your debt over a 3 to 5year repayment plan.
- Keep your house, your car and more from being taken over by creditors even if you are behind on payments.
Our Chapter 13 bankruptcy lawyers have worked with thousands of clients to put them back in control of their finances. We’ll make sure you get the best repayment plan for your situation and protect you from creditors.
Am I eligible?
In order to file for Chapter 13 bankruptcy, you must pass a financial test that looks at whether your “disposable” income is more than the median of households your size. At your free consultation our bankruptcy attorneys at San Diego Bankruptcy Bulldogs will analyze your personal financial situation and explain how the Chapter 13 bankruptcy process works and how it will benefit you.
In order to decide if you are eligible, contact one of our Chapter 13 bankruptcy lawyers to schedule a free consultation today!