Chapter 13 Bankruptcy

Los Angeles Chapter 13 Bankruptcy Attorneys

Using Experience & Knowledge to Put Clients on the Right Path

Despite what you may have heard, the bankruptcy process is still available for those people who need to find their way out of debt. If you are a wage earner with a regular income, you can eliminate some debts and reduce others by filing for Chapter 13 bankruptcy. You can pay back taxes, back child support and alimony, and a small amount on your remaining debt each month, without penalties or interest. After a few short years, you can emerge from the process with confidence and the expectation of better times ahead.

Why Choose Our Chapter 13 Lawyers

At RHM LAW LLP, our bankruptcy attorneys have helped thousands of people get out from under the burden of debt – and we can help you. We understand that these difficult times have people all over the greater Los Angeles area struggling with serious financial issues, such as foreclosures, mounting debts, and repossessions. If you are currently facing these financial hurdles, you should reach out to our legal team to discuss your situation so we can determine if filing for Chapter 13 bankruptcy is the right option for you.

Have questions? Speak with a qualified Chapter 13 lawyer in Los Angeles at RHM LAW LLP. Start a free 30-min. consultation or call us at (213) 344-0043.

What Can Chapter 13 Do For Me?

Chapter 13 bankruptcy allows you to reorganize your debt. You work with an attorney to set forth a plan to repay as much as your debt as possible during a 3-5 year period. You’ll be required by a bankruptcy court to provide detailed financial statements that support your proclaimed revenue and expenses. Once the plan is created you’ll have to make monthly payments to a trustee, who in turn pays off your creditors.

Once you have completed the repayment plan, you are no longer responsible for any previous debts, even if through repayment, you are not required to pay the entire amount that was owed. Chapter 13 also stops increases on interest rates, such as the interest rate owed on a credit card.

Chapter 13 Protects Your Home, Car & Personal Property

A Los Angeles Chapter 13 lawyer at our firm can discuss your options and whether a Chapter 13 bankruptcy is right for you. For some people, we recommend a Chapter 7 bankruptcy filing. Whatever option you choose, we can take action that very day.

Chapter 13 provides many benefits:

As soon as we file for you, we can stop foreclosure actions, repossession actions, garnishment, and creditor harassment.
Under Chapter 13, you can keep your home, your car, and personal property. We may even be able to remove a second or third mortgage entirely.
Your unsecured debts are reduced or eliminated.
You will have a manageable monthly payment to repay a portion of your debts from your disposable income.

A new financial future may be possible for you whether you file for Chapter 7 or Chapter 13.

What Can Chapter 13 Discharge?

After completing your Chapter 13 payment plans, you'll be able to discharge the remainder of your qualifying debts - meaning this will be dismissed and you will not have to repay them.

Debts that can be discharged at the end of Chapter 13 include:

Credit card debts
Medical and hospital bills
Personal loans not backed by a collateral

Debts that are nondischargeable under Chapter 7 and are dischargeable under Chapter 13 include:

Debts (other than support related debts) that arise from a divorce or separation agreement
Debts that arise from a willful or malicious injury caused by the debtor (unless there has already been restitution or damages awarded in a civil action against the debtor)
Debts from government fines, penalties and forfeitures

Will I Lose My Property if I File for Bankruptcy in California?

No, one advantage of Chapter 13 is that it allows you to keep your property, even if you are behind on mortgage or car loan payments. The repayment plan will help you catch up on these arrears.

What Is a Hardship Discharge?

Sometimes circumstances arise, preventing the debtor from completing the plan. When this happens the debtor may ask the court to grant a “hardship discharge.”

A Hardship discharge is available only if the following occur:

A debtor’s inability to complete plan payments is because of circumstances that are not in debtor’s control and occur through no fault of the debtor; and
Creditors have received at least as much as they would have if the debtor had filed for Chapter 7 liquidation case; and
Modification of the plan is not possible.

Sometimes injury or illness that precludes employment sufficient to fund even a modified plan can serve as leverage for a hardship discharge. You should discuss your hardships with your attorney to help you determine how to move forward.

Filing for bankruptcy is a serious decision. To learn more about which option is best for your situation, get in touch with a Los Angeles Chapter 13 attorney at RHM LAW LLP. Dial (213) 344-0043 or contact us online.

Chapter 13 Repayment Plans

As part of your Chapter 13 filing, you must create a monthly payment plan that details how you intend to repay your creditors.

Your Chapter 13 payment plans are created by factoring in:

How many debts you have, including priority debts, unsecured debts, and secured debts. If you are keeping your house and car, you must catch up with past payments and keep up with current payments.
How much income you have. You must calculate your disposable income, which is your total income minus your necessary expenses to help determine how much you can afford to pay out monthly.
The length of your repayment plan. Most payment plans last from 3 to 5 years. If your average monthly income is less than your state's median, your plan will be 3 years. If your income is greater, it can be 5 years.

The unsecured debtors receive a payment that reflects what the debtor could reasonably afford. A limitation of a Chapter 13 Plan is that it is required to pay the unsecured debts at least as much as the creditors would have received if the debtors non exempt assets had been liquidated under a Chapter 7 bankruptcy. This can be payment in full, a percentage of the claims, or even under the appropriate situations, nothing.

Work with an experienced Los Angeles Chapter 13 attorney to help you structure a monthly payment plan that is manageable.

Is Chapter 13 Bankruptcy Right for Me?

Chapter 13 bankruptcy might suit your situation if you have a regular income and it can help you catch up on past-due payments and deal with outstanding debts in an affordable, manageable way to get your life back on track.

If you owe more than you can afford to pay, or if you are having difficulty paying medical, credit card, or other bills, then contact our Los Angeles Chapter 13 bankruptcy lawyers to get advice from a seasoned legal professional.

How does Chapter 13 differ from Chapter 7 bankruptcy?

Chapter 7 is a liquidation bankruptcy that discharges most unsecured debts without requiring repayment. Chapter 13 involves creating a repayment plan and allows you to keep your property and assets.

Can I File Chapter 13 After Chapter 7?

You cannot file for Chapter 13 bankruptcy after receiving debt discharge through Chapter 7 within the last 4 years. Chapter 7 bankruptcy involves liquidating assets to pay off debts, while Chapter 13 allows repayment of debts through a court-approved plan over 3 to 5 years.

However, you may be able to file for Chapter 13 bankruptcy within 4-8 years if your financial situation has changed significantly since the Chapter 7 discharge. You should consult with a bankruptcy attorney to determine if filing Chapter 13 bankruptcy is an option for you, based on your individual circumstances and eligibility. The attorney can also help you decide which bankruptcy chapter is best suited to resolve your debts and financial situation.

Life After Chapter 13

Completing a Chapter 13 bankruptcy in California brings significant changes and financial relief. This structured process allows you to repay a portion of your debts over 3-5 years. Here's what life may look like after:

Debt Relief: After your successful Chapter 13 repayment plan, unsecured debts like credit cards and medical bills are significantly reduced.
Credit Score: While it may lower your credit score, it's often less severe and shorter-lived than Chapter 7. Over time, you can rebuild credit responsibly.
Financial Stability: You regain stability with a clear plan to pay secured debts, like mortgages and car loans, and catch up on arrears.
Retaining Assets: Chapter 13 lets you keep your property, safeguarding it from liquidation, including homes and cars.
Budgeting Skills: You learn valuable budgeting skills during the plan, helping prevent future financial difficulties.
Reduced Stress: Relief from debt and asset protection reduces the stress of financial burdens.
Legal Obligations: Ongoing financial obligations, like child and spousal support, remain after completing Chapter 13.
Financial Planning: Continuing financial guidance helps plan for emergencies, retirement, and future financial goals.
Rebuilding Credit: Start rebuilding credit with secured cards and responsible financial management.
Bankruptcy on Record: Chapter 13 bankruptcy remains on your credit report for seven years but improves with responsible financial management.

Life after Chapter 13 in California offers a fresh start, empowering you to regain control of your finances and build a brighter financial future. Maintain good financial habits, seek guidance as needed, and be patient while rebuilding credit and securing financial stability.

How Can a Bankruptcy Attorney Help You With a Chapter 13 Filing?

Bankruptcy attorneys specializing in Chapter 13 filings play a crucial role in aiding individuals facing financial difficulties. They offer legal advice, help you understand the nuances of Chapter 13 bankruptcy, and guide you through the filing process. They work closely with you to design a repayment plan tailored to your specific situation and present this plan to the court. Once the plan is approved, they continue to provide counsel and support until the completion of the repayment period, ensuring you meet all obligations and ultimately achieve financial stability.

Bankruptcy attorneys provide the following services:

Consultation: They usually start with a consultation to discuss your financial situation and assess your eligibility for Chapter 13 bankruptcy.
Paperwork Preparation: They handle all necessary paperwork and ensure that it is filled out correctly and filed in a timely manner.
Repayment Plan Design: They work with you to design a feasible repayment plan that aligns with your income level and ability to pay.
Debt Negotiation: They negotiate with creditors to reduce your debt and stop actions such as wage garnishment and repossession.
Court Representation: They represent you in court proceedings, protecting your rights and interests.
Post-Filing Advice: Upon successful filing, they provide advice on managing your finances and rebuilding your credit score.
Legal Support: They offer ongoing legal support and expertise throughout the repayment period to navigate any challenges that might arise.

Contact Our Chapter 13 Lawyer

Our job is to guide our clients to a new and better life after bankruptcy. We take care of everything – from filing papers in court, to negotiating with creditors to reduce your debt, to developing a repayment plan and getting it approved by the Court.

At the time we file Chapter 13 bankruptcy for you, you will owe only the court filing fee. RHM LAW LLP offers reasonable upfront fees and payment plans to help you preserve your money.

Call now to speak with a Los Angeles Chapter 13 lawyer – debt relief and financial freedom are just a phone call away.

Call (213) 344-0043 to request a 30-minute complimentary consultation with our Los Angeles Chapter 13 bankruptcy lawyer. With our trusted legal team on your side, you can get the help you need to resolve your financial issues and get a fresh start in life.

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What Clients Say About Working With Us

"As the dank blanket of economic uncertainty continues to depress the hopes of many of us, I keep your business cards and number available for others."
This is to thank you for the exceptional work of you and your fine staff. In managing my bankruptcy and loan modification, a nearly five-year effort, your performance was stellar. I never felt alone or adrift, key concerns in those circumstances. The outcome was outstanding. As the dank blanket of economic uncertainty continues to depress the hopes of many of us, I keep your business cards and number available for others. Without hyperbole, I can attest that you are present a beacon. Thank you so much.

- K.C.
"Matt and his staff conducted themselves with professionalism throughout the whole ordeal."
I worked with Matt and his team for about a year to get through the paperwork shuffle and my personal experience was nothing short of fantastic. Legal situations have a tendency to get hairy, but Matt and his staff conducted themselves with professionalism throughout the whole ordeal. To keep it short, let's just say he under-promised and over-delivered. Rarely would I ever say this about an attorney, but overall he was just a great guy. I would not hesitate to have him on my side of the courtroom again. World market is right across the street from his office and I even decided to get his staff a thank you / holiday gift card. World market has excellent craft beer BTW, try the Einstock White Ale. They also validate parking. That just shows this isn't a fake review.

- Dean C.
"He negotiated on my behalf with a credit card company and was able to settle with them for much lower than I could have on my own."
I worked with David Kritzer at this firm, and he was great. He negotiated on my behalf with a credit card company and was able to settle with them for much lower than I could have on my own thanks to his knowledge and expertise in the field. If you have a debtor on your back go to him to get it taken care of.

- Kelly S.
"Without the support of pro bono attorneys we couldn't do all the work we need to do, and your firm in particular is outstanding."
Thank you for your great work on behalf of Ms. Johnson. Without the support of pro bono attorneys we couldn't do all the work we need to do, and your firm in particular is outstanding.

- Skip K.
"I cannot thank them enough for helping save my home. I would recommend them for anyone that is thinking about filing for bankruptcy or foreclosure on their home."
I needed a bankruptcy attorney in Sherman Oaks and found Matt Resnik on Google. He has one of the best-reviewed bankruptcy law firms on Yelp so I decided to check it out his law firm for myself. I quickly found out that they are foreclosure specialists and they could help me with my issue. They made the process very easy for me and laid out my options for me. I cannot thank them enough for helping save my home. I would recommend them for anyone that is thinking about filing for bankruptcy or foreclosure on their home. They are the best bankruptcy law firm in Sherman Oaks.

- Joseph R.
"They were thorough, extremely knowledgeable, wonderful to deal with, thoughtful, and really helped guide me through what was one of the toughest times in my life."
Matt and his team are the best!! They were thorough, extremely knowledgeable, wonderful to deal with, thoughtful, and really helped guide me through what was one of the toughest times in my life. I never felt judged or looked down on. They were efficient and really were lifesavers during this tough time. I can not recommend them highly enough!!!!

- Rusty H.
"Was very impressed with the comprehensive professionalism of the firm..."
Was very impressed with the comprehensive professionalism of the firm, especially Matthew Resnik... I had suffered through the incompetence of two previous bk lawyers not to mention fees far greater than anticipated, without resolution. Having never gone through bk before, I did not realize how difficult it could be...then, my case was turned over to Mr. Resnik...almost immediately there was a marked positive difference. Where there was little to no communication, all of a sudden I am getting updates...regularly. Further, my case was finally discharged...yet, Mr. Resnik continues to communicate, offer assistance...and, has NEVER asked for additional fees, which I am sure he could have justified...much unlike the two previous attorneys with which I was dealing. I have no reservations, whatsoever, referring and recommending Matthew Resnik for any and all business or personal bk issues...or, other wise. I have no doubt that he will be transparent on helping you regardless of the problem. Good guy.. good firm... a wonderful experience!

- G.L
"I filed bankruptcy with this firm 3 years ago and found that they are professional, friendly, and compassionate."
I filed bankruptcy with this firm 3 years ago and found that they are professional, friendly, and compassionate. I also met with their loan modification department. Unfortunately, they were unable to help because of the type of loan that I have. I really appreciated that they did not lie, waste my time, or take my money in an attempt to modify a loan that was not doable. I've since used their firm for a couple of minor issues and found all of the attorneys to be knowledgeable and considerate. Attorneys Simon and Resnik are amazing!

- Shannon J.
"We are very happy that you were able to accomplish the modification of our loan in such a short period of time. Thank you again for your professional service."
Dear Mr. Resnik: We wanted to thank you for your professional handling of our loan modification with GMAC mortgage. We are very happy that you were able to accomplish the modification of our loan in such a short period of time. Thank you again for your professional service.

- W and B Mejia

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