Santa Ana Chapter 13 Bankruptcy Attorney

Financial Relief Through Reorganization Bankruptcy

Chapter 13 bankruptcy gives qualifying filers an opportunity to obtain meaningful relief from debt. As a viable alternative to Chapter 7 bankruptcy for those with sufficient income, Chapter 13 can be a powerful tool for restructuring various debts into one manageable payment plan, catching up on missed payments over time, and protecting cherished assets like a home.

At Nguyen Law Group, Santa Ana Chapter 13 bankruptcy Attorney Andy Nguyen has helped clients across Southern California find their financial fresh starts through Chapter 13 and other Chapters of the U.S. Bankruptcy Code. If you’re struggling with debt and searching for sustainable solutions, we’re here to evaluate your options and discuss how we can help.

Ready to explore your debt relief options? Call (909) 328-6280 or complete an online formto request a FREE consultation with our Santa Ana Chapter 13 bankruptcy lawyer.

What Is Chapter 13 Bankruptcy?

Chapter 13 bankruptcy, also known as reorganization bankruptcy, is a legal process that allows individuals and some businesses to restructure debts while keeping their assets. Unlike Chapter 7, which involves liquidation of assets to pay creditors, Chapter 13 allows debtors to create a repayment plan spanning three to five years. This plan consolidates debts into manageable payments based on income and expenses.

Chapter 13 bankruptcy offers debtors many benefits, including:

• Foreclosure Defense: Chapter 13 provides an opportunity for homeowners to halt foreclosure proceedings and catch up on missed mortgage payments through the repayment plan, allowing them to keep their homes.
• Halt Vehicle Repossession: Individuals facing vehicle repossession can use Chapter 13 to stop the process and include past-due payments in the repayment plan, enabling them to retain ownership of their vehicles.
• Prevent Wage Garnishment: Filing Chapter 13 bankruptcy puts an immediate stop to wage garnishment, protecting the debtor's income and allowing them to address their debts in a structured manner.
• Protect Co-signers: Unlike Chapter 7, where co-signers are still liable for the debt, Chapter 13 allows debtors to protect co-signers by repaying the debt through the repayment plan, reducing the risk of financial strain on loved ones.
• Restructured Debts: Chapter 13 enables debtors to restructure various types of debt, including credit card debt, medical bills, and personal loans, into a single manageable monthly payment, simplifying their financial obligations.
• Debt Discharge: Upon successful completion of the repayment plan, remaining qualifying debts are discharged, providing the debtor with a fresh start and relief from overwhelming financial burdens.
• Flexible Repayment Options: Chapter 13 offers more flexibility than Chapter 7, allowing debtors to tailor the repayment plan to their income and expenses, making it easier to meet financial obligations while maintaining a reasonable standard of living.

The Chapter 13 Bankruptcy Process

1. Petition Filing: The Chapter 13 process begins with the debtor filing a petition with the bankruptcy court, along with schedules of assets, liabilities, income, and expenses.
2. Creation of Repayment Plan: Within 14 days of filing, the debtor must propose a repayment plan, outlining how they will repay creditors over the next three to five years.
3. Meeting of Creditors: Approximately 20 to 50 days after filing, the debtor attends a meeting of creditors where creditors can ask questions about the proposed plan.
4. Confirmation Hearing: A confirmation hearing is held where the bankruptcy court approves or rejects the proposed repayment plan. If approved, the debtor begins making payments to the trustee.
5. Plan Execution: Over the next three to five years, the debtor adheres to the repayment plan, making regular payments to the trustee who then distributes funds to creditors.
6. Debt Discharge: Upon successful completion of the repayment plan, remaining qualifying debts are discharged, providing the debtor with a fresh financial start.

As a firm that places an emphasis on personal attention, our team at Nguyen Law Group guides clients through every step of the Chapter 13 process. From evaluating your eligibility, gathering needed documentation, and formulating sensible payment plans to preparing for creditor meetings and court hearings, we offer guidance that’s meant to support you through unfamiliar proceedings and lead you successfully toward your debt discharge.

Chapter 13 Bankruptcy FAQ

Who Can File Chapter 13 Bankruptcy?

While there's no strict means test, individuals and some businesses must have a regular income and debts within certain limits to qualify for Chapter 13. Additionally, debtors must demonstrate the ability to adhere to a repayment plan.

How Long Does it Take to Complete a Chapter 13 Plan?

Chapter 13 plans typically last three to five years, depending on the debtor's income and the amount of debt.

Why Would Someone Choose Chapter 13 Over Chapter 7?

Individuals may opt for Chapter 13 to save their homes from foreclosure, protect co-signers, or restructure debts that cannot be discharged under Chapter 7. Chapter 13 also allows debtors to catch up on missed mortgage or car payments through the repayment plan. Additionally, if circumstances change, a Chapter 7 case can be converted to Chapter 13.

How Does a Chapter 13 Debt Discharge Work?

Upon successful completion of the repayment plan, remaining qualifying debts are discharged, providing the debtor with relief from those obligations. However, certain debts such as student loans, child support, and most taxes may not be dischargeable.

Can Spouses File Jointly Under Chapter 13?

Yes, spouses can file jointly under Chapter 13, allowing them to consolidate their debts and create a single repayment plan.

How Can a Chapter 13 Attorney Help?

Having an experienced attorney by your side can be invaluable when navigating a process as complex and consequential as Chapter 13 bankruptcy.

At Nguyen Law Group, we’ve earned a reputation for providing the personalized guidance clients need to navigate complicated bankruptcy proceedings and for delivering detail-oriented counsel that maximizes the benefits of this powerful process. Whether you’re looking to explore your eligibility or are ready to dive into the process of preparing your financial documents, filing a petition, and developing a payment plan that satisfies the court’s requirements, we’re here to help.

Call to Request a FREE Consultation: (909) 328-6280

There is no better time than now to explore your options for meaningful debt relief. At Nguyen Law Group, we’re available seven days a week to help potential clients evaluate their current situations and assess whether options like Chapter 13 bankruptcy make sense. If you have questions about your financial circumstances and how we can help, don’t hesitate to reach out.

Our Santa Ana Chapter 13 bankruptcy attorney serves clients across Orange County, the Inland Empire, and beyond. Give us a call at (909) 328-6280 or contact us online to request a FREE and confidential consultation.