Determined California Bankruptcy Lawyers Help You Get Back on Your Feet
Compassionate Irvine attorneys offer Chapter 13 counsel
At Sadeghi & Associates in Irvine, California, we have been helping clients navigate the Chapter 13 bankruptcy process since 2005. Chapter 13 bankruptcy allows you to reorganize your debts and work with your creditors to pay an agreed-upon amount over a period of time. Also called “wage earners” bankruptcy, it addresses both secured debts, such as mortgage and car loans, and unsecured debts, such as medical bills and credit card debt. The principal advantage of this form of bankruptcy is that it saves your home from foreclosure. Our knowledgeable lawyers can help you take the first step toward a brighter financial future.
Determining whether you are eligible for Chapter 13 bankruptcy
To be eligible for Chapter 13 bankruptcy, you must be able to demonstrate that you have sufficient income, after subtracting certain allowed expenses and required payments on secured debts, to meet the obligations of your proposed payment plan. You must have no more than $1,257,850 in secured debts (such as mortgages and liens) and no more than $419,275 in unsecured debts (such as credit cards and personal loans). We can look at your specific situation to help you determine if Chapter 13 is right for you.
Establishing a repayment plan
A Chapter 13 bankruptcy requires the debtor to propose a repayment plan to creditors for installments that will be paid over a period of three to five years, depending on the circumstances. We can make sure your plan meets all the requirements of the law and help you obtain the Chapter 13 discharge after your final payment. Once the obligations are discharged, the creditors involved in your plan can no longer try to collect them.
Lowering Debt Payments
With a Chapter 13 bankruptcy, you can reduce the principal balance of certain secured debts to the value of the underlying property in a process known as cramdown, which removes the lien and so prevents foreclosure. Most Chapter 13 filers end up having the vast majority of their unsecured debt discharged. We can show you how to proceed to reduce your financial burden and lower your monthly payments.
Contact a California lawyer today for a free Chapter 13 consultation
For Chapter 13 bankruptcy help, work with Sadeghi & Associates in Irvine, California. Call us at 949-668-1367 or contact us online for a free consultation.