If you are struggling to pay your bills or fear your home will be foreclosed, then filing for bankruptcy might be your solution for eliminating some or all of your debt. At SM Law Group, we are committed to using our extensive knowledge of the law to assist clients who are experiencing financial hardship.
Through Chapter 7 bankruptcy, also called liquidation bankruptcy, debtors can wipe out their debts. Our dedicated lawyers proudly serve clients throughout Los Angeles. We will gladly take the time to speak to you about the details of your case and review your finances so we can advise you of all your options under the law.
If you qualify for Chapter 7, there are many benefits that come with pursuing this option, including:
Chapter 7 is a great way to resolve your debts and create a fresh start for your financial future.
Most kinds of debt can be wiped out in a Chapter 7 bankruptcy, such as:
However, debts like taxes, student loans, child support/alimony, and debt incurred through fraud can’t be discharged in Chapter 7.
When you file for Chapter 7 bankruptcy, the court will look at all your sources of income and expenses to determine if you are eligible for debt relief.
Through a procedure called the Means Test, the court will compare your expenses to average expenses of people in your area. If your income and expenses are average, you won’t qualify for this type of bankruptcy.
If you have no equity and are current on your mortgage payments, then you’ll have no problem keeping your house after you file for Chapter 7. If you do have equity in your home, then California law allows you to protect a certain amount of equity in your home when you file for bankruptcy. The amount of equity you can protect varies on your age, as well as your marital and disability status.
It is absolutely critical to speak to an experienced bankruptcy attorney before you file to see if your home and other assets can be protected. While most of the people we represent can keep their homes if they file Chapter 7, some have so much equity in their home that the home would be at risk if they file a Chapter 7. In this situation, filing for Chapter 13 bankruptcy is generally the best option for the homeowner.
Filing for Chapter 7 will delay a foreclosure, but only temporarily. The lender is unable to proceed with the foreclosure until it gets a court order from the bankruptcy court authorizing it to proceed, or until the bankruptcy case is closed.
Although Chapter 7 is obviously not a permanent solution, it can give a homeowner some temporary breathing room. Chapter 7 can also be very advantageous to a homeowner who wants to give up their home. Not only does Chapter 7 wipe out credit cards, but it also prevents a second mortgage lender from coming after a homeowner for a deficiency after a foreclosure.
Are you considering whether bankruptcy is the right option for you and your family? Then contact our top-notch lawyers at SM Law Group so we can talk about your options under California’s bankruptcy laws. Our esteemed attorneys have assisted countless clients in the greater Los Angeles area rebuild their lives and shore up their financial future by helping them get out of debt. Although the Chapter 7 process may seem daunting, our knowledgeable attorneys will walk you through each phase of the process and advocate for your best interests.
Hear From The People We've Helped
I was referred to this firm by a friend. I can say I am very pleased with the outcome. Kian was wondering throughout this horrible experience. The insurance company didn’t want to pay me after I got rear-ended by a semi-truck but this firm made sure they paid me in full plus interests. This firm” - Marie Leon
I am very grateful for the firm really fast help me and I’m glad that they knew my language Spanglish and help me out with paperwork the job was done very fast and now months have passed and now I have credit cards again everything was restored the firm was absolutely outstanding very grateful For” - Paz Amor
Very professional and prompt service. Kian was excellent at what he does and made sure all my questions were answered. Very honest and helped me tremendously! Highly recommend. You don’t need a lawyer until you need a lawyer and they are great! - Aaron McCann
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“I would like to thank Kian and the whole SM Law Group for helping me file all the paperwork. They walked me through each step. Communicated and kept me up to date. They are extremely professional. I highly recommend them.” - Manuel S.
“SM law firm is one of the most professional law firms I have ever dealt with. I have worked with Kian on a few cases and he has always made things easy and straightforward. His knowledge on the law is outstanding and their rates are very reasonable.” - Jimmy S.
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