LA Bankruptcy

Do I Need To File Bankruptcy?

Welcome to LA Legal Line!

Elizabeth Torres, Esq.
2160 N. Durfee Avenue
El Monte, CA 91733
(888) 335 1001 info@torreslawgroup.com

Elizabeth Torres and her partners at Torres Law Group represent a professional law team in Southern California with over 15 years of experience that provides you with a free initial consultation with an experienced competent California bankruptcy attorney.

Bankruptcy is a process in which a person in debt may obtain a court-ordered relief from their debts and no longer be entitled to repayment. The purpose is to allow the debtor to have a fresh start and creditors are given an evenhanded distribution of any assets. However, the process is somewhat controversial as not everybody who faces severe financial difficulty should file for bankruptcy.

Personal bankruptcy is generally considered the last resort for a debt management option. This is mainly because the results are long lasting and very extensive. Many find themselves asking the question- should I declare bankruptcy.
There are many factors, which can effect a person’s decision to file for bankruptcy. It is important to discuss your situation to a credit counselor or bankruptcy attorney before making any decisions. They can help to evaluate benefits as well as detriments of filing for bankruptcy depending on your specific financial situation. Attending financial management courses may help you find ways to resolve some of your financial troubles.

Filing for bankruptcy is an important decision as it will stay on your credit report for up to ten years, making it difficult to acquire credit, buy a home, get life insurance, and sometimes even get a job. That is why it is crucial to balance every pro and con in terms of your situation. Bankruptcy can serve as a fresh start for people who cannot seem to satisfy their debts. However, bankruptcy does not eliminate all debts. Taxes, alimony, child support, and student loans are not discharged. Bankruptcy should only be considered when all other alternatives have failed.

The two types of personal bankruptcy include Chapter 13 and Chapter 7. Both types can rid you of unsecured debts as well as to stop foreclosures and repossessions. Chapter 7 is the most common and under this type allowing an individual to get discharged from their debt and keep assets in which there is no equity. This type of bankruptcy liquidates your assets, allowing you to pay off as much of your debt as possible. The cash from your assets is then distributed to creditors such as banks and credit card companies. For many people, Chapter 7 offers a quick, fresh start. However, for those who may own a company or a family home, it is not always the best option as almost all assets such as these are taken and sold to repay creditors.

For those who have property they want to keep, filing a Chapter 13 bankruptcy may be the better choice. Chapter 13 allows individuals who have a regular source of income to maintain ownership of their assets on the condition that they eventually repay creditors with their future earnings. The debtor is not fully discharged until repayment has been completed. This process can take three to five years.

In order to declare bankruptcy, there are two common procedures. The most common way is to voluntarily file for bankruptcy. The second way is for creditors to ask the court to order a person bankrupt. Consult first with a lawyer to decide which way to figure out the best fit for you circumstances

Numerous alternatives to bankruptcy include financial management as well as refinancing. Financial management utilizes a manager to pay your bills as well as put the debtor on an “allowance” until the finances are back in order. This alternative is often used but a downside is that it means giving up a lot of control over one’s own finances. The other alternative is refinancing your home, if one is owned, to pay off all high interest debt.

Visit www.TorresLawGroup.com to speak with a qualified California bankruptcy attorney.

Ask Your Bankruptcy Question Below.

Los Angeles Bankruptcy Questions

Recent Sample Questions to Legal Line

Can a company that has filed bankruptcy require its employees to work seven days a week or face being fired. It is a non-union corporation.
What is the correct procedure after the discharge of a chapter 7 bankruptcy? Does the mortgage company start proceedings all over-i.e.-newspaper posting for 5 weeks etc? They were denied the lift of the automatic stay and required to wait out until the bankruptcy was discharged?
My husband and I filed a chapter 13 almost 5 years ago all payments to debtors will be done by the end of this year. Problem is we have both been laid off and the payment came out of my husband’s pay check. When we first heard this layoff was going to happen I contacted my attorney and also tried several times to contact our trustee. I cannot get an answer on what we can do our payment was set at $111.00 a month. Please tell me what to do to get an answer to this problem
I am married now and have a credit card in my name only that I am having trouble making payments on. I have contacted the credit card company to have my monthly payment lowered for 12 months, but still having trouble paying. My question is: will my husband's credit be affected if I default on this? Is it possible for me to file bankruptcy on this without ruining my husband's credit? I am not sure what I should do. Please advise
I filed for chapter 13 when I was married 5 years ago. I have divorced recently and would like to know if I can file for bankruptcy again?
I hurt my back at home and am filing for disability. I have a car payment, to make and I have taken out insurance in case something happened to me to pay off the car note The Insurance Company now tells me it is invalid as I was not working. I have no income and they are saying they will take my car. Can I file for bankruptcy and keep my car?
My husband and I are looking into possibly filing chapter 7. We heard that you cannot put credit cards in this the Chapter 7 bankruptcy. Is this information correct?
During our 1 year long relationship my ex boyfriend purchased me several pieces of jewelry as gifts for me. He charged this on his jewelry account. We are now broken up and he is filing for bankruptcy. He has turned my name, phone number and drivers license over to them claiming I am now responsible for the rest of the payment. Am I the one responsible for this payment?
We have a garnishment against us that is being taken out of my husband’s paycheck. I am getting letter from another company that can be included when we file. Please advise if garnishments can be included as part of bankruptcy.
Is it better for your credit report if you do debt consolidation on your credit cards or is it better to just not pay your credit cards at all? I'm not ready for bankruptcy just yet.
My husband is a self employed electrician. His company is incorporated, however he recently filed bankruptcy here in the Los Angeles area. My question is - can this affect a personal Home Equity Loan that we jointly have? The LA bank were we currently have this loan just informed us that there is a freeze on using our line of credit due to my husband's company's bankruptcy.
Do I need to get an appraisal on my home to get the lien taken off my house during the bankruptcy process?
A man showed up with court paperwork and left then on my awning outside. I did not sign or receive them. Is that the legal way to serve people? Don’t I need to sign for them officially?
Is it better to declare bankruptcy versus going for credit counseling? Can I use bankruptcy to do the charge offs that I have? I have companies calling me about debts that they bought from my creditors that they had charged off. Help - I'm desperate.
I'm 62 and my wife is 55. We own our home in LA and want to keep it. We have $35,000 in credit card debt. My wife was self employed but she had to close down her business. My income alone cannot pay all the bills. Does that mean Chapter 13 bankruptcy for us?
If I file bankruptcy will this stop wage garnishing?
How do I file? Is there any way to file for free?
3 years ago I loaned a friend $15.000. Both she and her husband signed a promissory note. When they refused to repay it, I sued them and she filed Chapter 7 in the state where they lived. South Carolina is not a community property state. I obtained a judgment against him which he was paying back at $500 a month. Having moved back to California, he has now filed for Chapter 7. He works, earns $90k a year, owes the IRS $267,000 and has child support of $120k. According to his papers, I am the only one chasing him for repayment. How can I stop the Trustees agreeing to his filing for Bankruptcy and discharging his debt to me? I believe he is abusing the system and is a crook.
I am working on filing for bankruptcy. Meanwhile, I have not paid on my credit cards since Feb '09. A summons and complaint has been filed against me for collecting under 25,000 dollars. Other than going to the courthouse and asking, I have no idea how to handle this. I must respond within 30 days, which is right around the time I will have the paperwork to my lawyer to finally file for bankruptcy. Should I simply go to court and allow a judgment against me because it will later be included in the bankruptcy and won't matter, or what?
We have had a really hard time keeping up with monthly payments. The company that financed our car says that we did not hold up to our end of a payment agreement. They say that if I don't pay the 2 past months, and the current month, over $1000, that they will come repo the car. Can they take it if I make a payment? I talked to a rep from them two days ago and they agreed to the payment, now today they changed their minds.
I filed for bankruptcy about two years ago, but because most of the debts were in mine name only I did not include my wife. Now she has about $20,000 in credit card debt and we are thinking of filing BK under her name. My income is about 50% of what it was two years ago and my wife can't work anymore because of illness. We own our home but no equity at this time. We were trying to get a loan modification but no luck. Other than the credit card debt we are current on house payment and auto loans. The problem is really with the interest rates for the credit cards - we will never pay them off. We barely make enough to get by each month and have nothing extra to pay on the CC. We have not made a CC payment for about 4 to 5 months and we are getting all the usual calls from CC company. What should I do?
If my spouse declares bankruptcy, either chapter 7 or 13 - am I held legally responsible to pay his debts and/or will his bankruptcy affect MY credit as well?
I have been in financial hardship. Last 24 months I have either been out a job or on unemployment for 14 months. My husband for 7 months has been on unemployment or cut back hours. Yesterday I got a letter from a credit attorney requesting a levy on my assets and accounts. Can I fight this? I am prepared to pay them back. I have paid back 2 debts and almost done with a third. Please let me know what I can do.
I do not own a home here in LA but have substantial credit card debt. What options are available to me? I would like to pay them off but it just seems as if I am getting nowhere. What type of relief is out there for non-homeowners? It seems like if you own a home borrowing money at a lower interest rate is easy. For non-homeowners it is impossible. How do I pay what I owe without going broke in the process?
I am current on my mortgage however its getting more difficult to make my mortgage. I have a 1st and 2nd. The first is adjustable. What can I do to refinance if my home does not appraise for what I owe?
I hear a lot of ads to get out of debt with your credit cards. We are maxed out because of job loss but I am back to work now. But I would like to know – like everybody – how to get out of the credit card mess without going bankrupt.
We have started a refinance of our home and wish to stop it. We have not closed on the loan. Can we do this?
I have an unsecured debt of almost $51,000 and I have lost my part-time job. Now Im having difficulty paying my creditors. What will be my best option? I am not a homeowner and I dont have any assets. Can you help me?
Im in the middle of a short sale. I have a mark value offer of 350,000. My 1st is about 475,000. 2nd 120,000. Question - Do I pay any of the second? My wife and I are both retired. Our total income is $4,000 per month.
How do you find a reputable debt consolidator or debt management company? I owe close to $40,000.00 in credit cards and cannot make the minimums. Should I just file BK? Help please.
When I heard the ad on KLOS Los Angeles it sounded like me. Currently I am a month behind on my mortgage payments. Is it possible for me to pay back in payments?

*All information received by the Legal Line will be strictly confidential. Legal Line will not disclose any information provided by visitors without their express written consent. Legal Line is not owned or operated by KABC/KLOS. Consult a legal professional in person before taking any legal action related to your case or situation. For additional inquires email info@legalntr.com

Do you have an LA Bankruptcy question?