You should hire a Stockton bankruptcy attorney to help you:
- stop and postpone foreclosures
- stop auto repossessions
- eliminate medical bills debts
- Eliminate credit card bill and personal loan
Our bankruptcy attorney will find the best ways to help you avoid foreclosure, save your assets, and stop collection calls. Bankruptcy allows individuals to eliminate or renegotiate the terms of their loans with creditors and pay over a longer period, ultimately saving their assets from being repossessed or sold for a loss in order to recover monies owed to the lender.
Individuals or businesses may declare either Chapter 7 bankruptcy or Chapter 13 bankruptcy. Chapter 7 bankruptcy involves liquidation of assets in order to pay off lenders and other creditors. Chapter 7 bankruptcy allows the bankruptcy court to cancel any outstanding debts. It is available to individuals, families, and businesses whose annual income is lower than the median income in each individual state.
Chapter 7 eligibility is determined by a means test administered by the Bankruptcy court. The median state income for a four-person household in California was $81,740 as of November 2015. Any family or entity with a median income above this figure will not qualify for Chapter 7 bankruptcy and will have to apply for Chapter 13 Bankruptcy.
Chapter 13 bankruptcy gives a person relief from unsecured loans and allows them to retain assets such as property or motor vehicles, renegotiate the terms of loans on these items and repay outstanding debts over a longer period, usually three to five years.
Simply put, Chapter 7 is typically filed to wipe out credit card debt and medical bills. A Stockton bankruptcy attorney may file Chapter 13 for you if your goal is to catch up on loans for a home or car.
Where to File Bankruptcy in Stockton
In Stockton, bankruptcies can be filed at the Sacramento, Fresno and Modesto courthouses and more information can be found on the California Eastern District Bankruptcy Court website: http://www.caeb.uscourts.gov/.
When to Hire a Stockton Bankruptcy Attorney
Hire a Bankruptcy attorney to Eliminate Debt
Residents of Stockton, California may benefit from declaring either Chapter 7 or Chapter 13 bankruptcy. The first advantage is the discharge of any unsecured loans such as credit cards and medical debts. Filing bankruptcy automatically triggers a court order stopping collection activities.
Hire a Bankruptcy Attorney to Protect Assets
Filing for Chapter 13 Bankruptcy is among the best ways to stop or delay foreclosure on real property for a homeowner behind on payments. The first thing that happens when a person files for bankruptcy is that the court issues an ‘Automatic Stay’ which stops any lender or collection agency from continuing with any collection activities such as trustee sale or auctioning of the property.
With foreclosure rates at approximately 7% in Stockton, California, since 2012, property owners often file Chapter 13 bankruptcy to stop foreclosure, allowing the homeowner to reorganize finances. Chapter 13 also allows property owners to renegotiate their loan terms with lenders and pay only what they can afford on the outstanding mortgage payments for a period of up to five years.
Benefit of Bankruptcy
Federal bankruptcy laws were created to offer debtors relief from heavy debts and allow them an opportunity to begin building their credit scores and finances. In a 1934 decision, the Supreme Court defined the role of Bankruptcy as follows: it gives the honest but unfortunate debtor a new opportunity in life and a clear field for future effort, unhampered by the pressure and discouragement of pre-existing debt (Local Loan Co. v. Hunt 292 U.S 234,244, 1934).
In a nutshell, bankruptcy’s main role is discharge. The bankruptcy discharge is a court order that releases a person or business from liability and also stops creditors and collection agencies from carrying out activities to recover their debt from a person who has declared bankruptcy.
How to File for Bankruptcy in Stockton, California
If you are thinking about filing for bankruptcy in Stockton, there are several steps you need to follow. First, you need to put together all your financial records in order to determine your financial situation correctly. Secondly, you need to take the means calculator in order to determine the type of bankruptcy that you can file for. Third, you should attend pre-filing credit counseling which is mandatory.
Next, prepare bankruptcy documents, make copies, and assemble them in accordance with court rules, and file them in court. Finally, carry out follow-up actions until your case is complete. As you can see, the whole process can be quite intensive, which is why it is advisable to enlist the services of a Stockton Bankruptcy attorney or a Los Angeles Bankruptcy attorney to help you successfully file your case.
Appearing for The Meeting of Creditors
Individuals or businesses filing for bankruptcy are required to appear for a creditors meeting which is scheduled 21 to 50 days after they have filed their cases and failing to attend these meetings without a valid reason can lead to the dismissal of the case. The creditor’s meetings are held at any of the California Eastern District Bankruptcy Courts which can be found here. Having your Stockton bankruptcy attorney present during the process will help you with the legal technicalities and negotiations so that your case goes through successfully.
Filing for bankruptcy in Stockton California need not be a complicated process. With the right bankruptcy and foreclosure attorney by your side, you can eliminate debt, including credit card debt, medical bills, personal loans, and back taxes for up to three years. In addition, you will be able to delay foreclosure on assets such as houses and cars and ultimately save these assets from being sold off due to delayed payments. Stockton bankruptcy attorney fees range from $300 to $1800 in Stockton, California, depending on the type of bankruptcy you are filing for.
Free Bankruptcy Advice
Anyone who lives in the state of California and wishes to get rid of debts can call our law firm for immediate help. Our bankruptcy attorneys will take the time to evaluate your case and let you know what debts can be eliminated and what assets can be saved.
Most importantly, our California bankruptcy attorney will let you know what bankruptcy chapter is best for you on the first call. The consultation is Free!
