People in California might struggle to pay their debts for many reasons. Whether you suffered an unexpected illness or injury, lost your job, had a business go under, or made poor financial decisions, dodging calls from collectors and worrying about losing your car or home can be exhausting. The good news is that United States law gives consumers the right to seek a fresh financial start relatively quickly by filing for Chapter y bankruptcy.
You might have many questions about the bankruptcy process and whether a Chapter 7 filing is right for you. At the law firm of Miranda, Magden & Miranda, LLP, we can meet with you, evaluate your financial situation, and provide advice regarding possible debt relief solutions, including bankruptcy. Do not hesitate to contact our Seaside Chapter 7 bankruptcy lawyers to learn about your options today.
Chapter 7 Bankruptcy Requirements
While Chapter 7 bankruptcy is the most common type of consumer bankruptcy, people must meet certain requirements to pursue a successful case. Some of these requirements include:
- Pass the means test based on your household income and expenses
- Meet certain residency requirements, which generally require you to live in California for two years before filing, with some exceptions
- Complete one credit counseling course prior to filing your bankruptcy petition, and another credit counseling course prior to the debt discharge
- Not have a prior Chapter 7 discharge within eight years or a Chapter 13 discharge within six years
An experienced attorney can review your situation and determine whether you are a candidate for a Chapter 7 bankruptcy.
The Chapter 7 Process
There are several stages of a Chapter 7 bankruptcy case, and our legal team will help you every step of the way. Some aspects of your case we can handle include:
- Examining your accounts and preparing your petition and all supporting documents
- Representing you at the “341” meeting of the creditors and addressing any concerns of the bankruptcy trustee
- Helping you apply exemptions in a manner that protects the maximum amount of your property and assets
- Working to ensure you obtain a successful discharge of your qualified debts
Common Chapter 7 Concerns
Because Chapter 7 bankruptcy requires the liquidation of nonexempt property, many people worry they will lose everything in exchange for a discharge. This is generally not the case, as our attorneys know how to protect as much of your property as possible using available exemptions. In fact, some Chapter 7 filers do not have to give up anything.
You may also wonder whether Chapter 7 will wipe out enough of your debts to make a difference. If you have mostly unsecured debt, Chapter 7 is a good option. If you have both unsecured and secured debts, eliminating the unsecured payments can often free up enough funds to cover your remaining debts. This is a discussion you should have with a trusted attorney.
Contact a Chapter 7 Bankruptcy Lawyer in Seaside, CA for More Information
At Miranda, Magden & Miranda, LLP, our legal team assists clients in many situations with the debt relief process. If you are wondering whether Chapter 7 or another type of bankruptcy case would be beneficial for your household, contact us directly today.