California Bankruptcy Lawyer Blog

A California bankruptcy attorney answers questions on Chapter 7 bankruptcy.

What is Chapter 7 bankruptcy?
The main purpose of this bankruptcy is to get rid of a person's debt so they can start their life fresh. The debtor's belongings are liquidated, turned into cash, and then the money that is received is then given to creditors to repay your debt.

How do I qualify for bankruptcy?
You must make below the median income for your state, or if you make more than that, there are certain steps you can take to qualify, e.g., if your disposal income (DI) is less than $6,000 for 60 months, you do qualify for Chapter 7. If your DI between $6k and $10k, you will have to pay for at least 25% of your unsecured debt. And if you make more than $10k, you do not qualify for bankruptcy.

What are the steps I need to take to file?
First, when thinking about using Chapter 7, consult a bankruptcy lawyer. If s/he thinks you will be approved, they will give you the options you need to file.

What does my future look like?
While you are taking the correct steps to fix yourself, your future is still bright. You will build your credit back up and start anew.

If you would like more information on this topic or other bankruptcy topics, please contact one of our California offices at 1800.941.6730. We at Sagaria Law can connect you with one our our experienced California bankruptcy attorneys. We have bankruptcy attorneys located throughout California and Oregon to assist you with your bankruptcy questions. If you need assistance regarding a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, a cram down, stopping a foreclosure or wage garnishment, asset protection, discharging debt, etc. we can help! Please contact us to receive a free consultation or visit our website at www.sagarialaw.com to request an in-person consultation with an experienced bankruptcy attorney. We have an exceptional team of bankruptcy lawyers, bankruptcy client care specialists and bankruptcy staff supporting California.

A California bankruptcy attorney describes Chapter 7 and businesses.

A business can go out of business without filing Chapter 7 bankruptcy. When a company closes its doors and goes out of business, the assets are liquidated. However, in this case, stockholders or lien holders may try to personally sue officers of the company. To prevent this, the company can file Chapter 7 and business assets are liquidated, yet protects the individuals.

Chapter 7 is the most commonly filed type of bankruptcy. Individuals and companies can file Chapter 7. Once the bankruptcy proceedings have started, any wages earned by the filer cannot be claimed by any creditor. A trustee is assigned to sell all assets and pay the creditors for secured debt. These will be paid first. Any unsecured debts are discharged.

A "means test" must be passed to file Chapter 7 and business financial statements must be submitted. If the expenses do not exceed the income far enough, Chapter 13 must be filed.

If you would like more information on this topic or other bankruptcy topics, please contact one of our California offices at 1800.941.6730. We at Sagaria Law can connect you with one our our experienced California bankruptcy attorneys. We have bankruptcy attorneys located throughout California and Oregon to assist you with your bankruptcy questions. If you need assistance regarding a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, a cram down, stopping a foreclosure or wage garnishment, asset protection, discharging debt, etc. we can help! Please contact us to receive a free consultation or visit our website at www.sagarialaw.com to request an in-person consultation with an experienced bankruptcy attorney. We have an exceptional team of bankruptcy lawyers, bankruptcy client care specialists and bankruptcy staff supporting California.

A California bankruptcy attorney considers if legal assistance is necessary to file Chapter 7 bankruptcy.

If you are filing for Chapter 7 bankruptcy and thinking of hiring a lawyer, it is important to understand the benefits and negatives before making a final decision. With the importance of the outcome that filing Chapter 7, you will wish to ensure that it is handled properly.

Hiring a Chapter 7 attorney can give you peace in mind knowing that you have an individual on your side that has been through this process before. The filing process can be a difficult and confusing; with an attorney will be able to guide you through it. A professional can ensure that you qualify for a Chapter 7 bankruptcy as it has specific rules of eligibility. Not qualifying for Chapter 7 after filing delays the process as will have to wait for 180 days to file the proper bankruptcy papers.

The paperwork can be daunting and if not properly filled out harm you. With a Chapter 7 attorney, you are able to answer all the questions properly with guidance. A professional by your side during the trustee meetings can assist you with answering questions. If you answer a question in the wrong manner during this meeting, it will help you avoid mistakes. The only disadvantage to hiring an attorney to step you through the process is the cost. While it may seem counter-intuitive to spend money when you are in a tough financial crisis, it could actually save you more than you spend.

At Sagaria Law, we offer an exceptional team of bankruptcy lawyers, bankruptcy client care specialists and bankruptcy staff supporting California. If you need help regarding bankruptcy in California, contact us at 1800.941.6730 for a free consultation or visit us online at www.sagarialaw.com to request a free in person appointment at a Sagaria Law office location nearest you. We can answer your questions regarding filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. We have bankruptcy attorneys located throughout California and Oregon to assist you with all your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation to quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, California!

A San Jose bankruptcy attorney answers a commonly asked question regarding bankruptcy and your property.

With the increase in foreclosure rates nationwide, people are understandably concerned about their homes and foreclosure risks. If you file bankruptcy, it is not guaranteed that you will lose your home. Often, homeowners who file for Chapter 7 bankruptcy do not have enough equity in their homes to benefit creditors. If the trustee sees that the home is not a large enough asset, they will decide not to liquidate the home and the debtor will be allowed to keep the home.

Also, an automatic stay goes into effect once a bankruptcy petition is signed. This will stop foreclosure, wage garnishment and other legal proceedings until you can work out a financial plan to repay debts, giving you more time to consider possible options.

We can answer all your questions regarding filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, bankruptcy in California, call us at 1800.941.6730 and we will be more than happy to offer you a free consultation over the phone. You can also fill out a free online evaluation at our website, www.sagarialaw.com, or request a free face to face appointment at a Sagaria Law office location close to you. We have bankruptcy attorneys located throughout California and Oregon to assist you with all your debt resolution needs.

A San Jose bankruptcy attorney explains Chapter 7 bankruptcies.

A Chapter 7 bankruptcy filing virtually wipes out a person’s debt, giving them the chance to start with a clean slate. The option to file a Chapter 7 is a legal right that every citizen has, if they meet certain criteria. An experienced attorney can help determine which form of bankruptcy is right for an individual. Some debts such as government loans and fines are not allowed to be included in a bankruptcy filing.

Once a person files for Chapter 7 bankruptcy protection, their creditors are not allowed to continue contact or harass for payments. Collection calls and any other legal action is stopped while the filing is reviewed. During this time, creditors will be allowed to speak to the court and the petitioner, to ask for any property that is unpaid for to be returned.

The bankruptcy trustee will have the right to order any assets the petitioner currently has to be sold. The monies earned will be distributed to debtors on a priority basis. An attorney can protect a petitioner’s best interest in the case of any auction or seizing of assets. Once the conditions have been met, the U.S. Bankruptcy Court will officially discharge the debt.

We can answer all your questions regarding filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, bankruptcy in California, call us at 1800.941.6730 and we will be more than happy to offer you a free consultation over the phone. You can also fill out a free online evaluation at our website, www.sagarialaw.com, or request a free face to face appointment at a Sagaria Law office location close to you. We have bankruptcy attorneys located throughout California and Oregon to assist you with all your debt resolution needs.

A San Jose bankruptcy attorney talks about the redemption in Chapter 7 bankruptcy...

A redemption as it applies to a Chapter 7 bankruptcy liquidation case, is a tangible piece of personal property belonging to the debtor thats use is intended for personal, family or household purposes. A redemption is encumbered by a lien. To qualify as a redemption, the property, in general terms, much either have been abandoned by the trustee under Bankruptcy Code, Section 554 or it must be exempt under Bankruptcy Code Section 522.

Typically, the full amount of the claim against the property must be fulfilled by the debtor to the lienholder in order for the property to be redeemed by the debtor.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or 1800.941.6730 and we can connect you with one of our experienced San Jose Bankruptcy Attorneys. Sagaria Law can assist you with all aspects of your bankruptcy case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, lien stripping, a cram down, stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist in all of these important areas. Please complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A San Jose bankruptcy attorney explains Liquidation and Chapter 7

Chapter 7 Bankruptcy is also known as “liquidation.” The goal of a Chapter 7 bankruptcy is to clear out the debtor’s unsecured debts. Unsecured debts includes debts such as credit card bills, medical bills, personal loans which are not secured, etc.

Why is Chapter 7 Bankruptcy Called “Liquidation”

The way the Chapter 7 bankruptcy works is: all of your property and assets which exceed the exemption limits are sold and used to pay off creditors. There are exemptions in place for a certain amount of equity in your home, your vehicles, your personal property, etc. If you own merely “the basics” then you are not likely to lose any of your assets in a Chapter 7 bankruptcy. However, if you own a fancy boat, for instance, or a second property with a lot of equity in it, then these items may be subject to being sold in your Chapter 7 bankruptcy. Consult with an attorney to find out if any of your assets are likely to be sold during a Chapter 7 Bankruptcy.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A San Jose bankruptcy attorney provides a list of non-dischargeable debts relating to a Chapter 7 Bankruptcy filing:

When filing Chapter 7 bankruptcy, also referred to as the Fresh Start, a typical outcome is that the debtor, or bankruptcy filer, is discharged from liability for most unsecured debts. Here is a list of debts not typically discharged, however consulting with an experienced bankruptcy attorney is always advised:

Most Tax Debt
Obligations you have for Domestic Support
Debts incurred drom Student Loans
Retirement Plan Debt
Any Debt that you do not properly list
Unprotected Debts that you have elected surrender dischage protection due to a reaffirmation agreement
DUI-related Accident (Personal Injury) or Death Debts
Criminal Obligation Debt
Any and all Debt that the Bankruptcy Court has Ruled as Not Discharged in your Bankruptcy Case

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A San Jose bankruptcy attorney addresses the issue of How do I file Bankruptcy?

We blog on the topic of how to file bankruptcy a lot because, frankly, it comes up daily for many consumers in debt. The ins and outs of how to file bankruptcy is a "stopping point" for many as it can be confusing and sometimes daunting. But it doesn't have to be. Knowing what to expect is half the battle.

A bankruptcy begins by filing the bankruptcy petition at the bankruptcy court. It takes time and attention to prepare your bankruptcy file, so it is highly recommended that you seek the assistance of an experienced bankruptcy attorney. For example, with the bankruptcy petition, you also file a creditor schedule (listing all of the creditors to which you owe debt), a statement listing your assets and a statement listing your liabilities. When filing bankruptcy there are many forms to fill out, a list of which is available on the court websites (click here to view) as well as some printing, copying or stationary stores. Your bankruptcy filing, whether it is a Chapter 7, Chapter 11 or Chapter 13 filing requires a variety of components including attention to detail, a 341 meeting od the creditors, in some cases a Means Test, and two financial courses.

Again, filing bankruptcy can be as easy or as difficult as you make it. If you hire a bankruptcy attorney, chances are your bankruptcy filing with go smoothly and is less likely to get dismissed.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A San Jose bankruptcy attorney notes when Chapter 7 is right for you...

There are a few benefits to filing a Chapter 7 bankruptcy. First, you will be able to discharge most unsecured debts. These debts include your credit card, medical and utility bills. After a successful filing of Chapter 7 bankruptcy, you will not owe the creditor anything for most of these unsecured debts.

Second, Chapter 7 is generally faster and you will be able to obtain debt relief within a shorter period of time. Chapter 7 only takes about 3 to 4 months to complete, in contrast, Chapter 13 will take you 36 to 60 months. If you have mostly unsecured debts, and need debt relief fast, Chapter 7 may be just the right answer for you.

But Chapter 7 bankruptcy is not for everyone. You must first qualify under the Means Test. If you do not qualify under the Means Test, you cannot file for Chapter 7. Also, if you have declared child support or alimony, have student loans to repay, or if you have recent income tax debt, Chapter 7 may not be the right choice for you. It is best to visit with a qualified bankruptcy attorney to discuss all of your bankruptcy options then chose the path that is best suited for you.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A San Jose bankruptcy attorney offers Six Tips for Bankruptcy Chapter 7

Tip No. 1 for Bankruptcy Chapter 7: Seek the advice of an experienced bankruptcy attorney. While you may fear major cost involved, some bankruptcy attorneys offer free consultations, such as Sagaria Law, PC in downtown San Jose.

Tip No. 2 for Bankruptcy Chapter 7: Ask questions with regard to whether bankruptcy is the answer for you. You may need alternatives, such as legal debt settlement, or different types od bankruptcy such as Chapter 7 vs. Chapter 13.

Tip No. 3 for Bankruptcy Chapter 7: Be honest with the trustee in charge of your bankruptcy. The trustee manages all of your assets and the risks involved with bankruptcy fraud are not worthwhile. Full disclosure is always recommended.

Tip No. 4 for Bankruptcy Chapter 7: Be prepared to take two courses in order to complete your bankruptcy: a credit counseling course and a debtor education course. These are mandatory but can be done in a variety of ways: on the internet, over the phone, and in person.

Tip No. 5 for Bankruptcy Chapter 7: Know your rights as a consumer. Creditor harrassment is not okay. Especially if you have retained a bankruptcy attorney.

Tip No. 6 for Bankruptcy Chapter 7: Ask for a payment plan to pay off your bankruptcy if you cannot pay all of the money up front. A reputable bankruptcy attorney will have a financial system in place that can accommodate a realistic payment planned based on your income. Call Sagaria Law if you want to verify that a payment plan is an option.

The last tip is this: if you plan to file your own bankruptcy, be prepared. The paperwork involved is intense and while many attempt to file their own bankruptcy, there are many that get their bankruptcy dismissed due to mis-steps involved with paperwork filing, mandatory meetings and interpreting the legal jargon involved.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A San Jose bankrupty lawyer addresses a common bankruptcy question: How much does it cost to file Bankruptcy in Fremont?

Answer: It depends on what Chapter you file.

Chapter 7 requires a $299 filing fee, Chapter 13 requires a $274 filing fee, and Chapter 11 requires $1,039 filing fee. These fees, however, are only filing fees and do not include attorney’s fees which vary depending upon the complexity of each case.

Thus, to file bankruptcy in Fremont or San Jose will vary depending upon what chapter a debtor files and the complexity of the case. An experienced bankruptcy attorney should be consulted to get an actual cost to file bankruptcy.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A San Jose bankruptcy lawyer asks San Jose consumers in debt to consider the question: What Should I Do Before Bankruptcy?

The choice to file bankruptcy is never an easy one. So before bankruptcy, there are many things to consider. Being overwhelmed by a mountain of debt is one sign before bankruptcy comes to mind. Unforseen circumstances such as an accident (medical bills), sudden job loss (rendering you unable to meet billing and mortgage deadlines), student loan debt catching up with you, or a combination are all signs before bankruptcy is considered for most.

Before bankruptcy, everyone should consider meeting with a qualified and experienced bankruptcy attorney to review finances, explore options, and develop an action plan before bankruptcy. This type of planning before bankruptcy can provide a clear picture when things are clouded up my debt and stress. Credit counseling and becoming familiar with the necessary tools to ensure future financial stability are also key before bankruptcy so that after bankruptcy, when the debtor becomes debt-free, they have built a stable path for future financial freedom.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A San Jose bankruptcy lawyer explains: What is secured debt?

Secured debt is an item or items belonging to you, often referred to as assets, that are used as collateral when you seek a loan. Secured debt reduces the risk for the lender when they loan you money, as the secured debt is a “back up plan” if you are unable to fulfill the terms of the loan. An example of secured debt would be mortgage on your house. This type of secured debt would be considered as collateral toward the debt to the lending institution. Again, the secured debt acts as something to be used (or seized) only in the event you default on your loan repayment. This secured debt is to be taken very seriously, as the bank can take it from you and sell it to pay off the debt or the portion of the debt.

Another way to described unsecured debt is security. Security for the lending company that efforts can be made to “made good” on your debt if unforeseen circumstances render you unable to fulfill the obligation of the loan.

Secured debt is the opposite of unsecured debt, which carries much more risk for the lender.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

Question: Will all my property get taken if I file Chapter 7?

Answer: Generally speaking, no. When filing Chapter 7 in California a debtor may use certain exemptions to prevent most if not all of their property from being taken.

Question: Will the trustee come to my house and do an inventory of all my property if I file Chapter 7?

Answer: Probably not. Only if a trustee believes there is property worth liquidating at a debtor’s home. Generally this is not the case.

Question: Can I keep my car if I file Chapter 7?

Answer: Probably. In most cases a debtor can keep their car so long as they can afford the monthly payments if financed, or there isn’t significant equity in the vehicle.

Question: How long does the process take if I file Chapter 7?

Answer: Once a petition is filed the Chapter 7 process only takes a few months.

Question: How can filing Chapter 7 prevent foreclosure?

Answer: Once a petition is filed an automatic stay goes into effect that prevents a creditor from collecting a debt for a specified period of time. By filing Chapter 7 a debtor can stall the foreclosure process in hopes of becoming current on the mortgage or working out a payment plan with the lender.

Question: Can I do a loan modification while in Chapter 7?

Answer: Yes. The lender will need written authorization from your attorney to speak with you about a loan modification. Generally, however, a debtor will probably be out of Chapter 7 before a loan modification is approved. Thus, in most instances where a debtor has fallen behind on their mortgage payments and wishes to file Chapter 7, it is wise not to reaffirm the debt on the home in case the loan modification falls through post bankruptcy.

Question: How long will the Bankruptcy remain on my credit report if I file chapter 7?

Answer: Up to ten years.

Question: How can I live without credit after filing Chapter 7?
Answer: A debtor is required to take two credit counseling courses when filing for Chapter 7. The courses discuss how a debtor can manage their finances post filing.

Question: If I’m married to I have to file Chapter 7 jointly?

Answer: It depends. If a married couple shares the same debt and only one party files for Chapter 7, the debt is discharged only to the filing party. Thus, the non filing spouse would still be responsible for the debt. Thus, married couples should review their debt before deciding whether both parties need to file.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A San Jose bankruptcy lawyer explains the means test and Chapter 7 bankruptcy

For bay area consumers wondering about the means test and Chapter 7 bankruptcy, the means test is a method to establish whether an individual meets the qualifications for a financial assistance program (including government assistance). While Means testing is also used in Medicare benefit distribution and has been suggested as a solution for the Social Security problem, the most common means test is within a Chapter 7 bankruptcy filing; the Means test is used to determine a person's eligibility to file a Chapter 7 bankruptcy.

The term refers literally to whether a debtor has the financial means to pay their debt, or portions of their debt. The means test is a particularly important factor to deter higher income debtors from filing Chapter 7 bankruptcy, as their financial means would allow them to pay off a portion of their debt, rather then wipe it out altogether via Chapter 7. The higher income consumer, who typically would not meet the requirements of the means test, would then file a Chapter 11 or Chapter 13 bankruptcy.

The means test is complex, but its requirements are typically met by the average Chapter 7 filer.

Means Test at-a-glance facts:

The means test formula determines the debtors income to debt ratio
Debtor income that falls below the state's median income are not subject to the means test
There are online means test calculators, but it is also suggested that you seek the assistance of an experienced bankruptcy attorney if you are considering filing Chapter 7

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A San Jose Bankrutpcy attorney offers 6 Tips for Bankruptcy, Chapter 7

Filing for bankrutpcy, chapter 7 is a little easier when you have tips to help guide you in the process. Bankruptcy, Chapter 7 in particular, has some simple items that must be completed in order to become debt-free.

6 Tips for filing Bankruptcy, Chapter 7:

1. The decision to file bankruptcy, Chapter 7 or otherwise, should be made after receiving all of the facts. To determine if you are a candidate for bankruptcy, Chapter 7, it is widely suggested that you see an experienced bankruptcy to learn more an and make an informed decision.

2. In bankruptcy, Chapter 7 in particular, it is important to check the exemptions that are available to you in the state where you live. This has to do with the property you get to keep, beacuse it is determined as "exempt." Do not be overwhelmed, a bankruptcy attorney can explain this further.

3. In figuring out whether or not your property is exempt, understand that the value of the property is not the amount you paid for it, rather the value is what the property is worth at the time you file your bankruptcy, Chapter 7 case. This includes cars, furniture, etc. so the value may be a lot less than what you paid for it.

4. Be prepared to answer the following questions when you visit a bankruptcy attorney:

-what types of debt are causing you the most problems?
-what are the assets you have that are the most significant?
-How did your debt arise?
-Are your debts secured?
-Are you facing foreclosures, utility shut-offs, or wage garnishment?
-what is your goal today?

Being prepared is the best you can offer yourself in facing bankruptcy. However, a bankruptcy specialist at a bankruptcy firm can prepare even the least prepared client, so do not let this tip deter you from seeking help.

5. Don't believe everything you hear, especially if you have not consulted with a qualified bankruptcy professional. An example of this is the "Bankruptcy will negatively affect my credit!!!" One of the many factors to this is that Bankruptcy, while not for everyone, will reduce your debt to income ratios, which in facts helps your credit, depending on your circumstances.

6. You are not alone. Call a bankruptcy lawyer today and get your Fresh Start.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A San Jose attorney explains involuntary bankruptcy

An Involuntary Bankruptcy, by definition, occurs when the filing of the bankruptcy is initiated by the creditor to whom the debt(s) is owed. The creditors are allowed to file a petition for bankruptcy, thus initiating the involuntary bankruptcy process, with the end goal of recouping the debt or a portion of the debt that is owed them. An involuntary bankruptcy can also result in a restructure of that debt, which means the debt is restructured and paid off, sometimes via a payment plan.

The involuntary bankruptcy differs from a regular bankruptcy filing in that typically bankruptcy is filed by the debtor.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A San Jose Bankruptcy Lawyer Discusses Discharging Back Taxes...

In our current economic climate, many people are having difficulty keeping up with all of their debts. While many of us think of bankruptcy as being for debts such as credit cards and auto loans, a significant number of people are also having trouble with back taxes. Forunately for these people, taxes are often dischargable in a bankruptcy.

Whether or not your taxes can be discharged depends on various factors. When the taxes were due to be filed and when they were actually filed are two of the major factors involved in determining whether or not the taxes can be discharged, though the courts will also look at other aspects of your situation, such as whether or not you intentionally evaded the IRS.
In order to determine whether or not your taxes can be discharged in a bankruptcy, we suggest contacting a lawyer in your area.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.

A San Jose bankruptcy attorney explains the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005

The Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) of 2005 was enacted in April 2005 and applies to cases filed on or after October 17, 2005. It involved significant changes to the United States Bankruptcy Code with the goal to prevent abuse of the system and make it more difficult to file for bankruptcy, especially under Chapter 7. Among other requirements, under the law, consumers who plan to file for bankruptcy protection must obtain credit counseling from an approved organization within 180 days before filing. During the course of the bankruptcy process, they must complete a debtor education course in order to obtain a discharge.

Perhaps the most significant change enacted by BAPCPA was the restriction on the number of debtors that could file for Chapter 7 bankruptcy which subjects some debtors to a means test. Upon calculation of the debtor’s income and comparison to the median income of the state in which the debtor resides, debtors whose income is above the median income must pass a means test. Another important change enacted by BAPCPA was the allowance for dismissal or conversion of a Chapter 7 case upon a finding of abuse by an individual debtor with primarily consumer debt. Abuse may be found where there is an unrebutted presumption of abuse arising under the means test or through a finding of bad faith, based upon a determination of the totality of the circumstances.

If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys.  After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you.  Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down,  stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs.  Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.