Some individuals cannot handle their own finances due to poor spending habits. Some may even use credit to buy food. In many cases, bankruptcy attorneys in Los Angeles County help people to keep from losing their homes.
The Chapter 7 is the type that erases most of the debt. It helps individuals and families to make a new start. Some debt, however, cannot be excused by a Chapter 7.
Included are taxes, child support and student loans. Certain properties cannot be lost by the person who is declaring bankruptcy. He or she is entitled to keep a home.
A car is exempt too. In the case of a couple, two may be kept. Credit card debt, non-secured loans and utilities are excused. The Chapter 7 absolves them of these types of debt.
The first consultation with a lawyer is a time to determine if the client qualifies to go bankrupt. Some parameters must be met. If the client qualifies, the attorney will make another appointment to fill out paperwork.
Then a petition is filed in a federal court. It is read by a judge. The petition is accepted or denied at that judge's discretion.
If accepted, a retainer is paid to the lawyer for services to be rendered. There is a filing fee paid for court costs. All debt that is eligible is vacated at that time.
There is another choice. It is the Chapter 13. This type gives the client time to make payments. It totals all debt and a plan is made to repay it, usually within five years. The client must be earning a set amount of money that is sufficient to pay two things. First, he must earn enough to make payments to cover the debt.
The petitioner must have sufficient salary left over to support himself. In other words, the earnings must be high enough to pay for rent, food and the other necessities of life. The attorney will explain the requirements.
At the time that the federal judge grants the petition, all interest will stop. No more will be added to the debts. The Chapter 13 type of bankruptcy give the client a chance to clear his or her debt.
The Chapter 7 is the type that erases most of the debt. It helps individuals and families to make a new start. Some debt, however, cannot be excused by a Chapter 7.
Included are taxes, child support and student loans. Certain properties cannot be lost by the person who is declaring bankruptcy. He or she is entitled to keep a home.
A car is exempt too. In the case of a couple, two may be kept. Credit card debt, non-secured loans and utilities are excused. The Chapter 7 absolves them of these types of debt.
The first consultation with a lawyer is a time to determine if the client qualifies to go bankrupt. Some parameters must be met. If the client qualifies, the attorney will make another appointment to fill out paperwork.
Then a petition is filed in a federal court. It is read by a judge. The petition is accepted or denied at that judge's discretion.
If accepted, a retainer is paid to the lawyer for services to be rendered. There is a filing fee paid for court costs. All debt that is eligible is vacated at that time.
There is another choice. It is the Chapter 13. This type gives the client time to make payments. It totals all debt and a plan is made to repay it, usually within five years. The client must be earning a set amount of money that is sufficient to pay two things. First, he must earn enough to make payments to cover the debt.
The petitioner must have sufficient salary left over to support himself. In other words, the earnings must be high enough to pay for rent, food and the other necessities of life. The attorney will explain the requirements.
At the time that the federal judge grants the petition, all interest will stop. No more will be added to the debts. The Chapter 13 type of bankruptcy give the client a chance to clear his or her debt.
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Find a complete review of the advantages you get when you consult bankruptcy attorneys in Los Angeles County and information about a well-respected lawyer at http://www.goldbachlaw.com/ today.
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