Los Angeles Chapter 13 Bankruptcy Attorneys

The experienced and reliable Chapter 13 bankruptcy attorneys at Weintraub Zolkin Talerico & Selth LLP are here to answer all of your questions about bankruptcy law and filing for bankruptcy in Los Angeles, including possible alternatives that might suit your situation. If you are facing overwhelming debt or need to save your home from foreclosure, we can help you explore your bankruptcy debt relief options. We can work with you to propose your repayment plan and file for Chapter 13.

Take the first step toward financial relief today. Call (310) 220-4147 or contact us online to speak with a knowledgeable Chapter 13 bankruptcy lawyer in Los Angeles.

Why Should I File for Chapter 13 Bankruptcy?

Chapter 13 bankruptcy is the second most popular form of personal bankruptcy, second only to Chapter 7. If you are being pestered by debt collectors, have a steady income and assets, and the equity in your home is not protected by filing Chapter 7 bankruptcy, then Chapter 13 bankruptcy might be the best option.

Chapter 13 bankruptcy offers a structured way to reorganize debts without liquidating your assets. This process can be particularly beneficial if you have significant equity in your home or valuable non-exempt assets that you wish to retain. By formulating a feasible repayment plan, individuals can address secured debts, like mortgages, while discharging some unsecured debts. Utilizing Chapter 13 also provides protection from creditors, stopping collection actions and allowing for breathing room to manage finances more effectively. This structured approach not only helps prevent foreclosure but also facilitates the gradual restoration of one's financial health, making it an essential tool for many facing financial difficulties.

Chapter 13 can be effective for those who are experiencing the following:

• You have fallen behind on mortgage payments, or your house is in foreclosure
• You have back taxes and need time to repay them
• Your wages are being garnished, making it difficult to keep up with your bills
• You are behind on your car payments, and your vehicle has been repossessed
• You do not qualify for Chapter 7 but need debt relief
• Consumers who are being crushed beneath the burden of credit card or medical debt

We can review your individual circumstances to help you determine whether Chapter 13 is the right option to help eliminate your debts. Bankruptcy is a significant decision, so it's important that you review the pros and cons with a qualified Chapter 13 bankruptcy attorney. Our team is well-versed in local regulations and court procedures in Los Angeles, ensuring your case is managed efficiently. Understanding the intricacies of Chapter 13 bankruptcy protections can give you the leverage needed to rebuild and thrive financially.

What Types of Debt Can Chapter 13 Eliminate or Reduce?

Both Chapter 7 and Chapter 13 can help eliminate many unsecured debts. However, Chapter 13 allows you to reduce certain debts not covered under Chapter 7.

Chapter 13 can eliminate or reduce many types of debt, including:

Importantly, Chapter 13 also allows you to stop foreclosure and catch up on mortgage payments as part of your plan.

Using Chapter 13 bankruptcy, individuals can strategically manage their secured debts while achieving potential reductions in unsecured debt obligations. This method not only consolidates payments into a manageable schedule but also provides clarity and organization to one's financial commitments. It is critical to approach Chapter 13 with a comprehensive understanding of what debts can be restructured and how it can serve long-term financial goals. Guidance from knowledgeable Chapter 13 attorneys can significantly enhance the effectiveness of this bankruptcy option, enabling a smoother transition to financial stability.

What Determines My Chapter 13 Repayment Plan?

While Chapter 7 bankruptcy requires liquidation of some of your assets for repayment of your debt, Chapter 13 bankruptcy allows you to reorganize your debt and repay a portion before you receive a discharge. This is typically achieved after approximately three to five years of adhering to an approved repayment plan.

Your repayment plan is determined by several factors:

• Monthly payments: The amount you must repay each month is determined in part by your disposable income. Disposable income is typically defined as money you have left after paying your necessary living expenses.
• Length of plan: If your current monthly income is less than your state's median for your household, then your plan will last 3 years. If that amount is more than your state's median for your household, the plan will be for 5 years.
• Total debts: Your plan must account for all debts, including priority debts, unsecured debts, and secured debts for property that you wish to keep (such as a home or car).

After creating a strategic plan to help you realistically repay your debt, we will structure the included debts in the repayment plan and the percentage of them that you will repay. The more of your debt we can discharge, the lower the percentage of debt you will have to repay.

Once you complete the repayment plan, your remaining eligible debts will be discharged. In Chapter 13 bankruptcy, this may include unsecured debts such as medical bills and credit card debt. Understanding the factors that affect your repayment plan allows you to better prepare for the commitment required in Chapter 13 bankruptcy. Our Chapter 13 bankruptcy lawyers in Los Angeles can provide detailed insights into the local economic factors that may influence your plan, ensuring that it is both feasible and aligned with your financial goals. Every aspect, from income verification to allowable expenses, will be meticulously reviewed to optimize your repayment plan’s success.

Chapter 7 Bankruptcy vs Chapter 13 

Chapter 7

A Chapter 7 bankruptcy covers all of your assets at the time it is filed, protects the assets that qualify as "exempt," and discharges most or all of your debts.

Chapter 13

As with Chapter 7, Chapter 13 looks at your financial situation as of the filing date, but takes a more comprehensive approach to taking care of your secured debts (house, car, etc.) while also discharging most or all unsecured debts.

Frequently Asked Questions

How Does the Chapter 13 Bankruptcy Process Work in Los Angeles?

In Los Angeles, beginning the Chapter 13 bankruptcy process involves filing a petition with the Central District of California Bankruptcy Court. This petition includes a detailed list of assets, liabilities, income, and expenditures. A repayment plan should also be submitted, outlining how debts will be managed over the coming years. One of the significant advantages of filing in Los Angeles is the automatic stay, an immediate halt on foreclosure or repossession actions. The court then appoints a trustee to monitor the repayment process, ensuring compliance with the agreed-upon plan. A confirmation hearing will take place, during which the plan is either approved or modified to better address creditors' claims. This structured approach supports debtors in maintaining their property while managing debt repayment efficiently, all under the guidance of experienced professionals familiar with the local legal landscape.

What Specific Laws in California Affect Chapter 13 Bankruptcy?

California has unique legislation that influences how Chapter 13 bankruptcy is handled, primarily regarding exemptions that dictate which assets are protected. Unlike some states, California offers a choice between two sets of exemptions for property and assets: the standard California exemptions or the federal bankruptcy exemptions. For instance, the homestead exemption in California can protect a significant portion of home equity, which is particularly beneficial given the high property values in Los Angeles. Additionally, California's bankruptcy means test is integral, determining eligibility based on income and family size specific to the area. Knowledge of these state-specific rules ensures your bankruptcy plan is not only feasible but also maximizes the exemptions and legal advantages available under California law.

How Does Weintraub Zolkin Talerico & Selth Ensure a Smooth Los Angeles Bankruptcy Process?

At Weintraub Zolkin Talerico & Selth, we are committed to providing support and clarity throughout the Chapter 13 process. By leveraging our century of combined legal experience, we help clients understand the complexities of their cases. We tailor our approach to match each client's unique financial situation, ensuring a comprehensive strategy is devised to navigate hurdles. Our commitment to individual guidance means every client's plan is informed by detailed analyses, frequent updates, and a clear communication channel with our team. This personalized method reduces stress and uncertainty, ensuring clients feel supported every step of the way. Additionally, our familiarity with the Los Angeles legal environment allows us to expedite filings and effectively liaise with court-appointed trustees, showcasing our proactive and thorough approach.

Learn More About Our Affordable Debt Solutions

Our Chapter 13 attorneys are committed to delivering aggressive and creative debt solutions at affordable fees. We have developed an innovative fee structure that allows us to bundle legal services for a flat or monthly fee. This enables our clients to cap their costs for legal services or plan their monthly expenses for filing Chapter 13 bankruptcy. Call us now to determine how we can help you.

Choosing the right bankruptcy options can be daunting, but with the right legal guidance, you can navigate these waters confidently. Our approach ensures that clients benefit from customized strategies that reflect their financial landscape in Los Angeles. We prioritize transparent communication and legal integrity to make sure every client feels informed and in control throughout the process. Reach out to us at Weintraub Zolkin Talerico & Selth for a comprehensive consultation and take the first step toward regaining your financial footing.

Call (310) 220-4147 to get started with a consultation upon request with our Chapter 13 bankruptcy attorney in Los Angeles.