A bankruptcy attorney in Arcadia

After New York City, Los Angeles is the second-largest metropolitan area in the United States (nearly 20 million people). For new businesses and residents alike, Los Angeles can be a prohibitively expensive place to do business and live. Salaries have remained stagnant despite the deterioration of the economy as a whole. As the cost of living rises, many people use credit cards to start and grow their businesses or cover unexpected medical bills. If a person's credit card limit is exceeded, their business fails, or they have exhausted all other financing options for their family's needs, credit card debt may become unsustainable. If this is the case, you should contact one of our bankruptcy attorneys in Los Angeles.

A bankruptcy attorney in Arcadia  can help you determine your current financial situation and the various bankruptcy options available to you under Chapter 7, Chapter 13, or Chapter 11 if you are unsure, which type of bankruptcy protection is best for you.

For the following types of bankruptcy cases, the lawyers at The Los Angeles Bankruptcy Attorney Group can help.

Chap. 7

The goal of Chapter 7 bankruptcy is to eliminate debt. Individuals, couples, small businesses, limited liability companies, and multinational corporations can all benefit from this system. To be eligible to file for bankruptcy, you must first pass a means test. If you are a single taxpayer who makes less than $48,498 per year, you may be able to file under this provision. Having a median annual income of $76,211, a family of four is considered middle class. An increase of one percentage point in the maximum annual income limit takes place in April each year. If your disposable income falls below a predetermined threshold, you may be eligible for financial assistance. Contact one of our Los Angeles bankruptcy attorneys today for a free consultation to see if you are eligible for bankruptcy relief. Even if you think you're ineligible, you may actually qualify.

Small business owners, individuals who don't qualify for Chapter 13 bankruptcy, and homeowners facing foreclosure can file for bankruptcy under a "wage earner" plan, referred to as Chapter 13 in the book. A repayment plan for your debts must be filed in Chapter 13 bankruptcy, which mandates a three- or five-year payment schedule. On the other hand, Unsecured creditors require a steady and reliable source of income to be compensated. A single monthly payment is required for the duration of the program. Homeowners who have fallen behind on their mortgage payments must be able to pay off their debts over three or five years. Existing second mortgages will be forgiven as a result of the plan.

This chapter will help you understand who you are and how you can improve your life.

In terms of complexity, Chapter 11 is a more time-consuming process. Companies, partnerships and even individuals may be eligible for bankruptcy relief under this clause. In some cases, creditors may file an involuntary petition. In terms of bankruptcy law, this chapter is very much like the rest. Creditors must confirm and then approve the bankruptcy court's approval of the debtor-in-disclosure possession plan, typically presented in written form. Debtors-in-possession have the freedom to carry on business as usual, including renegotiating contracts and leases for better terms and repaying creditors at a lower interest rate.