Debt is not a mistress to cultivate. When it becomes too burdensome, you can suffer anxiety, marital discord, insomnia and depression. You could also lose your home, car or business. Before this happens, call a Arleta bankruptcy attorney at (888) 754-9877.

Arleta consumers and business owners can seek protection from creditors and collection activities and relief from too much debt in a straight bankruptcy or repayment plan under Chapter 13 or 11. An Arleta bankruptcy attorney can explain each of the various types of bankruptcy. If a consumer, an Arleta bankruptcy attorney will also see if you meet eligibility requirements for filing.

Businesses can dissolve in an orderly manner under Chapter 7 or seek reorganization under Chapter 11. Have an Arleta bankruptcy attorney advise you on these procedures.

Chapter 7 Bankruptcy

Arleta businesses can dissolve their operations under Chapter 7, liquidate their assets and walk away from further obligations. Arleta consumers can wipe out debts like department store and medical bills, personal loans, payday loans and credit cards. You will need a Chapter 7 Bankruptcy Lawyer to see if you qualify to file based on income and liabilities. If eligible, a Chapter 7 Bankruptcy Lawyer will advise you of a class to take and certain financial documents to submit before filing.

Your Chapter 7 Bankruptcy Lawyer then files a petition containing your financial information and all transactions within the past 2 years. This is reviewed at a 341 Meeting with the trustee attended by you and your Chapter 7 Bankruptcy Lawyer. Your Arleta bankruptcy lawyer will have sufficiently prepared your petition so that few if any issues may arise.

In most cases, your debts will be discharged within 4 to 6 months after filing.

Chapter 13 Bankruptcy

Your Chapter 13 Bankruptcy Attorney may advise you that your income or liabilities make you ineligible to file under Chapter 7 though your debts cannot exceed certain amounts in Chapter 13. Your Chapter 13 Bankruptcy Attorney may also see that certain valuable assets could be lost in a Chapter 7 so that Chapter 13 is more feasible.

If you elect to file Chapter 13, a Chapter 13 Bankruptcy Attorney will file a repayment plan over 3 or 5 years where you pay back primarily secured creditors and those with priority in a single monthly payment to the trustee. Priority creditors are mortgage holders, tax agencies, employees if you are a sole proprietor, and recipients of alimony and child support.

At the plan’s conclusion, any unsecured debt may be discharged. Ask your Chapter 13 Bankruptcy Attorney about wiping out junior mortgage liens.

Chapter 11 Bankruptcy

Corporations, LLCs and Arleta partnerships that wish to remain in business but are having difficulty paying its debts can file for reorganization under Chapter 11. This is also a repayment proceeding but much more complex than a Chapter 13 and should only be handled by an experienced Chapter 11 Bankruptcy Lawyer.

A Chapter 11 Bankruptcy Lawyer files a disclosure statement containing financial and other information for creditors and a reorganization plan to be confirmed by certain creditors and equity holders.

If confirmed, the debtor business conducts its normal operations but its restructuring may include major business decisions that must be approved by the bankruptcy court. Your Arleta bankruptcy lawyer files progress reports and deals with creditor complaints and issues.

Call an Arleta bankruptcy lawyer at (888) 754-9877 about bankruptcy. Your Arleta bankruptcy lawyer will give you an honest opinion about how your financial situation will be affected or benefited by bankruptcy.