Bankruptcy Basics, information for everyone considering bankruptcy as a solution to their financial problems.
Is It Time To File For Bankruptcy?
Sometimes it is hard to look at things objectively and unemotionally when you are suffering financial difficulties. Bankruptcy laws were written for people like you. There is no shame in using the law to get you the financial relief that you need. There are many causes of financial problems and just as many reasons to file for bankruptcy protection. This video may help you to decide if it is time to file for bankruptcy.
If you are considering bankruptcy this is a scary time for you. Whatever the case you cannot pay your bills. You might be receiving calls from creditors that are threatening, car repossession, foreclosures and even work garnishments. Before your financial well-being dies you should understand what you might potentially be in for. By no means is this the tell all guide to bankruptcy, but these basics are meant as an introduction before you meet with one of our attorneys incase you are in the shopping around phase.
There are four different types of bankruptcy or “Chapters” under the U.S. Bankruptcy Code. Consumers typically file under Chapter 7 or Chapter 13 but may in some cases need to file a Chapter 11. Now we know that does not answer the real questions you have about the different types of bankruptcy but, this short video will clear things up. After you have watched the video, give us a call to discuss your case.
If you have more questions about the different types of bankruptcy and which one might be right for you, call the upland bankruptcy attorneys at the Law Offices of Marc Grossman at 1-855-LOMG-911 or use the contact form on this page. We won’t charge you for the consultation and there is no obligation. We will answer all of your questions even if you do not hire us.
While Chapter 7 is the most widely used section of the bankruptcy code, not all debts are liquidated under a Chapter 7 bankruptcy filing. If you are considering bankruptcy, chapter 7 is the first section that you should consider.
Chapter 7 Bankruptcy
Chapter 11 Bankruptcy Relief is used for business owners. Under Chapter 11 Bankruptcy relief, as debtor, you would retain ownership of your assets, and maintain control of your business.
Chapter 11 Bankruptcy
In Chapter 13 Bankruptcy relief, as the debtor, you retain ownership and possession of all of your assets, but must devote some portion of your future income to repaying creditors.
Chapter 13 Bankruptcy
Filing for Bankruptcy with Our Upland Bankruptcy Lawyers
When you use an Upland bankruptcy lawyer from the Law Offices of Marc Grossman, the bankruptcy process will seem easy and worry-free. We do all of the legal stuff so that you can sleep at night and look forward to a fresh start after bankruptcy. The filing process is similar in both Chapter 7 bankruptcies and Chapter 13 bankruptcies. There are 8 general steps in the process:
8 Steps of Filing for Bankruptcy
Call 1-855-LOMG-911 to setup a FREE Initial Consultation. We will discuss your current financial situation and answer all of your questions about bankruptcy for free and with no obligation. Even if you do not hire us, we know that you will benefit from speaking with our bankruptcy lawyers. We will also discuss what you will need to bring with you to the first meeting with your bankruptcy lawyer.
If, after discussing your situation with one of our bankruptcy lawyers, you decide this is the right time to file for bankruptcy, you will schedule a meeting with them. Be sure to bring whatever items that your bankruptcy lawyer instructed you to bring. Our fee for representing you varies depending on your case and the specific chapter of bankruptcy that you intend to file. The fee is often a concern to people that holds them back from calling a bankruptcy lawyer but, you may be pleasantly surprised by how affordable our fees are. You should also consider that upon filing for bankruptcy your financial crisis should be alleviated. The last thing that we want to do is take the last money you have to file your bankruptcy case.
We compile your bills, lawsuits, loans, credit report, income and other related things necessary to prepare your bankruptcy petition. This often leads to your bankruptcy lawyer requesting that you supply some additional documents and you are required by law to take a pre-filing debtor education class online. After the class you will receive a certificate that needs to be filed with the court. Your bankruptcy lawyer will supply you with all of the information when you meet.
Once you have supplied us with the necessary documents, we prepare your bankruptcy petition which is usually 50-60 pages in length. When your bankruptcy petition is complete, your bankruptcy lawyer will schedule another meeting with you. At this meeting you will review each page of the bankruptcy petition to insure it is accurate and complete. If necessary we will make any adjustments while you are in our office. If everything is OK, you sign the bankruptcy petition and begin the electronic filing process.
Usually within a week or two you will start receiving mail from the Bankruptcy Court. One of the first things that you receive will be a Notice of Meeting of Creditors that will give you the date, time and location of the meeting. In most Chapter 7 bankruptcies, the Meeting of Creditors will be the only time that you will need to go to the court.
The Meeting of Creditors will take place within 45 days of the bankruptcy filing date. The meeting is not with a judge but with the Bankruptcy Trustee and your creditors although, in most cases, no creditors actually attend this meeting. If the Bankruptcy Trustee does not have any questions about your assets, debts, income or the bankruptcy petition, the meeting is typically less than 10 minutes. However, many other people will be scheduled for the same time so you may have to wait for an hour or more before your case is called. When your name is called, your bankruptcy lawyer or one of their associates will appear with you to help you answer the Bankruptcy Trustee’s questions.
After the meeting, you will need to take a second Debtor Financial Education Class online. You don’t need to wait until the meeting to take this class. You can take it anytime after the bankruptcy petition has been filed. After the class you will receive a certificate that must be promptly filed with the court.
Assuming you filed a Chapter 7 bankruptcy and no problems arose during your bankruptcy, you will receive a “Notice of Discharge of Debts” from the court. In most cases this occurs about 6 months after your bankruptcy petition has been filed. Once you have received your discharge, your bankruptcy case is over and you have a fresh start on your financial life.
For more information about the bankruptcy filing process, call the Upland bankruptcy lawyers from the Law Offices of Marc Grossman now at 1-855-LOMG-911 or use the contact form on this page. There is no charge or obligation for an initial consultation with our bankruptcy lawyers.
“It is not worth losing another night of sleep over credit card debt, medical bills or other financial crisis. Our bankruptcy lawyers will guide you through the bankruptcy process and get you the fresh start you deserve.”
The United States Constitution gives Congress power to enact uniform laws on the subject of bankruptcies throughout the United States.” This means that bankruptcy in the United States is a federal matter. To file for bankruptcy, you must file in the United States Bankruptcy Courts. There are some ancillary matters which are decided under state law, and will vary depending on which state you live in.
The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005, drastically overhauled the Bankruptcy Code. The BAPCPA was advocated by consumer lenders who stand to be better protected under the new law. This better protection for lenders seems to have come at the expenses of consumers who need bankruptcy relief.
One of the changes under BAPCPA, there is now a means test, that makes it significantly more difficult for debtors with mostly consumer debts to qualify for Chapter 7 bankruptcy relief.
Chapter 7 is the most favorable bankruptcy for consumers, so limiting its availability makes filing for bankruptcy significantly more involved and difficult. Under BAPCPA’s means test, you must have less than an average income for a family of the same size as yours. The income is computed over 180 days preceding the filing, and there are certain allowances or living expenses and payments to secured creditors. The result is a very complex calculation, and does not necessarily reflect your disposable income, but you must qualify under the means test to be allowed to file for Chapter 7, the most desirable form of consumer bankruptcy. Instead, if you fail the means test you must file under Chapter 13.
BAPCPA also requires that prior to filing a petition for bankruptcy relief, the debtor must undertake approved credit counseling. This counseling is sometimes of little benefit, because for many people, a petition for bankruptcy is their only legitimate choice.
Bankruptcy is complicated law, and has recently become more so. This is why you need an experienced lawyer who is versed in the law of bankruptcy to help you through your case. Come to the Law Offices of Marc Grossman, and talk about your options under the law of bankruptcy. Our team of experienced attorneys is here to help you. After your free initial consultation you will better understand your rights and be better prepared for the choices you face.
Use the contact form on this page or call us 1-855-LOMG-911 at to discuss your case with a knowledgeable bankruptcy attorney.
We offer an initial consultation to provide you with a solid starting point for your case whether you’re filing a chapter 7 or chapter 13 bankruptcy claim. We want to learn about your situation. Let us provide you with clear information about how we can guide you through it.
Smart, honest bankruptcy representation
We offer an initial consultation to provide you with a solid starting point for your case whether you’re filing a chapter 7 or chapter 11 bankruptcy claim. We want to learn about your situation. Let us provide you with clear information about how we can guide you through it.
The Law Office of Marc Grossman is available to handle bankruptcy cases for people in Upland, California, and throughout the Inland Empire.
Our knowledge of bankruptcy laws means that you can trust us to help you find a path to resolve your financial challenge. We will find a method that is right for you, whether it means filing Chapter 7 bankruptcy, Chapter 13 bankruptcy or finding some other solution.
Bankruptcy can help you save your home from foreclosure. It can help you get a fresh start on your financial future. It can help you get all of this stress off your shoulders so you can get on with your life.
To find out more about how an experienced bankruptcy lawyer can help you through a difficult debt situation, call us toll free at 1-855-LOMG-911 for a free initial consultation.
We are a debt relief agency. We help people file for bankruptcy relief under the bankruptcy code.
Why People File For Bankruptcy
Studies have shown that the most common reasons of filing for bankruptcy are:
- Job Loss
- Medical Expenses that are not reimbursed by insurance companies.
- Divorce or Legal Separation.
- Small Business failures
- The Foreclosure crisis.