The Liviakis Law Firm helps individuals, families and businesses understand their options for resolving debt problems, particularly the associated benefits and disadvantages. Filing for bankruptcy, for example, stops creditor harassment and pending legal actions such as foreclosure proceedings and wage garnishment. You may have some concerns about what filing for bankruptcy means, however, in terms of the effect it will have on your short-term credit.
To discuss these pre-bankruptcy concerns, contact me today for a free initial consultation.
Working with a qualified, experienced bankruptcy lawyer who has knowledge of bankruptcy laws may prevent costly and time-consuming oversights, and is likely to lead to a better outcome. I will guide you through the process, answering each of your questions thoroughly and ensuring that bankruptcy is the best option for your individual situation.
In Chapter 7 bankruptcy, the trustee liquidates nonexempt assets and pay portions of secured and possibly unsecured debt according to a prioritization schedule of creditors established by the court. Chapter 13 bankruptcy, on the other hand, provides the opportunity to create a plan that repays debt in manageable monthly payments over three to five years.
Chapter 11 bankruptcy provides a similar repayment opportunity for small businesses that protects against creditor collection actions. Chapter 12 bankruptcy operates in much the same way, but is specifically intended to assist farmers and vineyard owners.
At the beginning of the process, a petition and schedules listing all of your assets and debts to each creditor are filed with the bankruptcy court. You will be required to attend a creditors meeting with a bankruptcy trustee assigned by the court so that the trustee may confirm the information provided. Your creditors are also invited to this meeting, but are not often present.
To discuss what you need to know about bankruptcy prior to filing, contact our office for a free initial consultation. I represent clients in communities throughout Sacramento County, El Dorado County and Placer County, California. My offices are located in Folsom and Sacramento.