Long Beach, Riverside, and Los Angeles Personal Bankruptcy
The attorneys at The Law Offices of Todd B. Becker have answers to commonly-asked questions about Los Angeles, Long Beach, and Riverside personal bankruptcy, to help people determine if it's the appropriate course to take.
Q. I am confronted by mounting bills and debts. Even my mortgage payments are overdue. What should I do?
A. It is time to consult with an experienced personal bankruptcy attorney and discuss whether a declaration of personal bankruptcy is your best option, or if you might benefit from another alternative.
Q. I’ve heard there is more than one type of personal bankruptcy option. What are they?
A. There are current two options for declaring personal bankruptcy: under Chapter 7 (which is also a viable business option) and Chapter 13.
Q. What are the pluses and minuses of Chapter 7 bankruptcy in Riverside, Los Angeles, or Long Beach?
A. In a declaration of Chapter 7 bankruptcy, individuals facing extreme debt who may not have a source of income to repay what they owe can sell off their non-exempt assets and use the proceeds to pay back their creditors. Any debts not covered by the sale are generally discharged (forgiven), though there may be some exceptions. The plus is that you will typically be able to start fresh and free of debt once all the proceedings are concluded. The minuses are that you may be doing so without many of your possessions, including your home. Also, the declaration of bankruptcy remains on your credit report for seven to ten years and can affect your future ability to get a mortgage, credit card, or any other kind of loan or financing.
Q. What are the pluses and minuses of Chapter 13 bankruptcy?
A. Chapter 13 bankruptcies are appropriate for individuals who have a steady income but need some assistance repaying their debts. Under Chapter 13, the individual adopts a repayment plan that allows the loans to be repaid over three to five years. The pluses are that Chapter 13 bankruptcy ends the foreclosure process and allows debtors to keep their homes. The minuses are the same as for any declaration of bankruptcy, in that it remains on your credit report for seven to ten years and can affect your future ability to get a mortgage, credit card, or any other kind of loan or financing.
Q. How do I figure out what option is the best for my situation, whether I qualify, and how to get started?
A. The best way is to seek experienced legal counsel from The Law Offices of Todd B. Becker in Riverside and Los Angeles. We have extensive experience in bankruptcy law and other personal bankruptcy alternatives.
