The Law Offices Of Diane Anderson

Call Now For A Case Evaluation

Folsom: (530) 317-5556

Jackson: (209) 881-9222

The Law Offices Of Diane Anderson

bankruptcy law AttorneyIf you’re considering bankruptcy, you may be feeling overwhelmed. This article about filing for bankruptcy provides a starting point if you are unsure where to begin. We’ll discuss Chapter 7 bankruptcy, the cost and filing process in California, and the benefits of hiring a bankruptcy law firm.

Bankruptcy is often a confusing and stressful process. Working with a bankruptcy law attorney will give you the best chance of a desired end result so you can erase your debts and move forward.

What Is Chapter 7 Bankruptcy?

Bankruptcy is a means of recovering from debt. Chapter 7, or liquidation bankruptcy, is the form of bankruptcy that is filed most frequently. Filing for bankruptcy provides you with relief from credit card debt, bank loans, medical bills, and other financial obligations.

Filing for Chapter 7 bankruptcy removes financial pressures and gives you a clean slate. It decreases or eliminates your debt, and keeps collection companies from bothering you or garnishing your wages.

One of the drawbacks to filing for bankruptcy is that it harms your credit. However, your credit can improve within a matter of months.

How Do You File For Bankruptcy In California?

There are many steps involved in filing for bankruptcy, but the first step is to take a means test to verify whether you are eligible. If you pass the means test, you must then take a credit counseling course before you file.

Next, you will need to submit the required paperwork and pay the court filing fee. You must fill out bankruptcy forms and supply supporting documents, such as:

  • Tax returns
  • Pay stubs
  • Bank statements
  • Other asset information
  • A list of your creditors
  • Your credit reports
  • And more…

The court will assign a trustee for your case, who will review your documents, collect your payments, and manage your case. The trustee also looks for assets that can be given back to your creditors.

You are also obligated to take a financial management course, and provide your certification to the court. After all the documentation has been submitted, you will need to attend a hearing for your bankruptcy case. The entire process of Chapter 7 bankruptcy usually takes three to six months.

How Much Does Filing For Bankruptcy Cost In California?

There is no set cost for bankruptcy because the expenses vary based on the situation, as well as on your income.

A Chapter 7 bankruptcy court fee in California is $338. However, it is possible to have this fee waived if your salary is below 150% of the government poverty guideline.

A mandatory credit counseling course costs around $50, but cheaper courses are available. Like the court fees, you might be able to receive the course for free if your household income is under 150% of the poverty guideline.

Hiring an attorney to simplify the bankruptcy process means you will incur attorney fees, but they are dependent on the particular firm and the complexity of your case.

What Does A Sacramento Bankruptcy Lawyer Do?

Filing for bankruptcy is a complicated and lengthy process. Any mistakes could mean that your debt is not discharged by the court. While hiring a bankruptcy lawyer does increase your cost, it also significantly increases the chance that your case will end successfully.

At The Law Offices of Diane Anderson, we can assist you with completing paperwork properly and making sure that your petition for bankruptcy is done correctly. Ensuring accuracy also helps prevent bankruptcy fraud, which is a serious offense that could result in heavy fines or even imprisonment.

One of our bankruptcy lawyers will also walk you through listing any exceptions during the bankruptcy process. This will allow you to keep your personal property and belongings. What’s more, a bankruptcy attorney can advise you on subjects like how to rebuild your credit, or when to stop paying debts during the filing process.

If you need a small business bankruptcy attorney, our bankruptcy law firm can also help you file for Chapter 7 bankruptcy for your business.

Need Assistance With Filing For Bankruptcy?

Facing bankruptcy is stressful enough without trying to understand the legalities on your own. At The Law Offices of Diane Anderson, we will guide you through each step and make the process easier for you. If you live in the Sacramento area, we have offices located in Folsom, CA and Jackson, CA.

For more information about bankruptcy in California, or to speak with one of our qualified bankruptcy law attorneys, call us today. You can reach our Folsom location at (530) 317-5556 or our Jackson location at (209) 881-9222.

The Law Offices Of Diane Anderson

Call Now For A Case Evaluation
(530) 317-5556 | (209) 881-9222