BANKRUPTCY

At The Carrillo Law Firm, we know that while every bankruptcy proceeding is unique, most people feel intimidated when filing. The paperwork involved in bankruptcy cases can be quite confusing, and, more often than not, your creditors will have teams of lawyers behind them.

Our objective is to make the bankruptcy process as simple and painless as possible for our clients. Depending on how far you are into the process, our bankruptcy attorneys may be able to:

• Help you understand eligibility requirements and the different types of bankruptcy
• File your petition with the U.S. Bankruptcy Court
• Negotiate with your creditors at your 341 Meeting
• Argue on your behalf in bankruptcy court, if necessary
• Help you regain control of your finances and get a fresh start

When you’re having financial problems, time is of the utmost importance. Acting quickly and hiring an attorney when you miss credit card payments or when your business starts failing is the first step in gaining control over your finances. Contact The Carrillo Law Firm today to discuss your financial situation and whether bankruptcy is right for you.

Bankruptcy Chapter 7:

A Chapter 7 bankruptcy allows your dischargeable debt to be dismissed, while maintaining possession of your primary home, automobile, and retirement plan. It also immediately stops garnishment of your wages, foreclosures, and may eliminate deficiency balances.

Bankruptcy Chapter 13:

Chapter 13 bankruptcy serves as an interest-free debt repayment plan. The court allows a payment plan to repay the consolidated debt within a specified time period. During this period, creditors can not collect from you. A Chapter 13 bankruptcy also stops the foreclosure process and permits outstanding and future payments to the mortgage company, while the mortgage company is prohibited to foreclose to collect past due payments. A second mortgage may be eliminated if the value of your home is less than the value of the first mortgage.

FAQ:

CHAPTER 7

Q. Will lose all of my property if I file a Chapter 7 bankruptcy?
A. Although most of your debt is discharged under a Chapter 7 bankruptcy, you will not lose all of your property automatically. The court may sell your personal property to pay your creditors. The items that the court sells are usually luxury items that are not essential such as a boat or expensive jewelry. if you can continue to make payments on your home and car and reaffirm those debts you will likely be able to keep them.

Q. How often can I file a Chapter 7 bankruptcy alone?
A. Every 8 years.

Q. I’m married, can I file for chapter 7 bankruptcy alone?
A. If one spouse has incurred a substantial amount of debt under their name, they may file for bankruptcy alone. However, the income and assets of the spouse not filing will be taken into consideration to determine whether the filing spouse qualifies for chapter 7 or chapter 13.

Q. What does it mean that my debt will be “ discharged” under Chapter 7 ?
A. Under Chapter 7, debt that is discharded is eliminated and you will not be personally liable to pay it back.

Q. What type of debt is not dischargeable under Chapter 7 bankruptcy ?
A. Examples of debt that is not dischargeable under Chapter 7 are student loans, child support and alimony.

CHAPTER 13

Q. Will I lose all of my property if I file a Chapter 13 bankruptcy?
A. Chapter 13 bankruptcies allow you to keep your personal property. The court will require that you pay a portion of your debt during a 3-5 year period. Your property will not be sold to repay your debt.

Q. How often can I file a Chapter 13 bankruptcy ?
A. Every 8 years

Q. I’m married, can I file for Chapter 13 bankruptcy alone?
A. If one spouse has incurred a substantial amount of debt under their name, they may file for bankruptcy alone. However, the income and assets of the spouse not filing will be taken into consideration to determine whether the filing spouse qualifies for Chapter 7 or Chapter 13.

Q. Who do I make the monthly payments to, under Chapter 13 ?
A. A trustee is appointed by the court and all payments are made to the Trustee