Filing Chapter 7 Bankruptcy in Sacramento

Are you, your family, or your business suffering from carrying the burden of debt in California and looking for a new financial future? 

We've represented and helped thousands of individuals in the greater Sacramento area start new lives debt free by filing Chapter 7 Bankruptcy.

Filing Chapter 7 Bankruptcy can give you a financial fresh start by potentially eliminating all or some of your debt including:

• Credit Card Debt
• Medical Bills
• Repossessed Auto Loan Debt
• Pay Day Loans
• Personal Loans
• Gambling Debts

The truth is that filing bankruptcy can be the best resolution for burdensome or complicated debt issues for many individuals and families; in fact, over 240,000 Californians will file bankruptcy in 2019.

How Does Chapter 7 Bankruptcy Work?

Individuals and families seeking to eliminate all or some of their consumer debt can apply for bankruptcy protection under Chapter 7 of the U.S. Bankruptcy Code. 

In a Chapter 7 bankruptcy, individuals can discharge some  or all of their debt if they meet California's qualifications.

Chapter 7 filers must allow the Bankruptcy Trustee to sell their “non-exempt assets” if they are too valuable to protect.  By comparison, Chapter 13 bankruptcy allows filers to maintain their valuable assets. 

Do I Qualify for Chapter 7 Bankruptcy?

Individuals and families filing for bankruptcy must first pass a qualifying income test to determine whether they can file for Chapter 7 bankruptcy to eliminate their debt, or whether they must file Chapter 13 to pay some or all of their debt in a consolidated low interest payment plan. 

The bankruptcy means test measures your income and debt to determine whether you have enough available  income to pay your creditors each month, albeit at a lower interest rate during a  restructured payment plan .

Individuals can typically qualify for Chapter 7 if they have:

• low to moderate income
• a significant amount of debt
• a willingness to sell their valuable assets 

How Long Does The Chapter 7 Process Take In California?

The entire process typically takes between 4-5 months, depending on your situation.

Everyone has different circumstances that can impact the approval process and the time it takes the Trustee to sell your non-exempt  assets to settle your debt with creditors.

One of the benefits of working with Liviakis Law is that you will have our legal expertise and ability to leverage our experience with the debt relief process , getting you on your way to financial freedom sooner rather than later.

Can I Recover My Credit Rating After?

Yes, with the right steps you can begin rebuilding your credit immediately after bankruptcy — but strengthening  your score can take several years depending on your score and your ability to repay creditors.

Many of our bankruptcy clients start to repair their credit scores within two years by responsibly using  secured cards or loans.

While Chapter 7 bankruptcy will remain on your credit report for 10 years, you can offset negative marks with positive and consistent financial decisions. 

At Liviakis Law, we are committed to helping our bankruptcy clients with the proper education and planning so that they can rebuild their credit and even go on to purchase a car or home.

How Do I Know Chapter 7 Is Right For Me?

Bankruptcy should be a tool for building personal wealth by saving your improved monthly cash flow, rather than paying high interest payments to a creditor.

Do not make the mistake of thinking that Chapter 7 is a cure-all. Several types of debt cannot be discharged and will remain due to creditors in full. Some types of debt that cannot be discharged or restructured under Chapter 7 include most student loans, child support, and mortgages.

The Liviakis Law Firm is ready to answer all of your questions about Chapter 7 bankruptcy and which debt relief options will give you the best opportunity to improve your situation for an improved financial future. Not all bankruptcy is the same and not all bankruptcy attorneys are the same.

Filing Chapter 7 Bankruptcy isn't right for everyone. In some cases, there may be better options such as settling debt out of court, which is another service that we provide to our clients.

At Liviakis Law we place honesty and integrity above all else, which is why we offer a free consultation to help determine if filing Chapter 7 or another debt solution is right for you.