Southern California Bankruptcy Lawyer

Helping Clients in the Inland Empire, Orange County, and West Los Angeles

INDIVIDUALS: Generally, two types of bankruptcy filing options are available to individuals under federal bankruptcy laws. Which type an individual may file depends on specific eligibility factors and what a debtor is trying to accomplish. By discussing your financial situation with a Southern California bankruptcy attorney at Fransen & Molinaro, your case can be reviewed to determine the best options you have for resolving your debt issues.
CREDITORS: When a person owes you or your business money and you feel they are illegally using the bankruptcy courts to escape payment, you can trust F&M to thwart that debtor's abuse of the legal system. Just because a person files bankruptcy does not mean they can "go bankrupt."

Chapter 7 Bankruptcy

In a Chapter 7 bankruptcy filing, a debtor must turn his or her nonexempt property over to a trustee who converts the property to cash and pays the debtor's creditors. In return, the debtor receives a Chapter 7 discharge releasing him or her from all dischargeable debts and creditors are ordered to refrain from attempting to collect monies owed to them by the debtor. Not all debts are dischargeable under Chapter 7, and an F&M attorney can help you learn the applicable laws and which debts you can discharge. Under Chapter 7 bankruptcy laws, some property is protected from creditors - such as home equity, all or portions of unpaid wages, household furniture, and personal belongings. An F&M bankruptcy attorney will explain which property you get to keep even after you file bankruptcy.

Chapter 13 Bankruptcy

Chapter 13 bankruptcy is a useful tool to stop foreclosure on your home or repossession of your car. In a Chapter 13 filing, a debtor is allowed to repay all or a portion of his debts under the supervision and protection of the bankruptcy court. The debtor submits a plan to the court setting forth a procedure for repayment of all or a portion of the debts owed. If the plan is approved by the court, creditors will be prohibited from collecting their claims directly from the debtor. The debtor will make regular payments to a Chapter 13 trustee who then uses this money to pay the creditors according to the approved plan. Upon completion of the payment plan, the debtor is released from liability for the remainder of his dischargeable debts.

Contact a Southern California bankruptcy attorney at Fransen & Molinaro today about your debt situation and bankruptcy options.