Consumer Bankruptcy Lawyers in San Diego, California
Bankruptcy is a legal procedure that allows an individual or business to have some or all of their debts discharged. It is normally considered as an option of last resort, because while it can stave off financial disaster, it has some considerable long-term consequences warranting careful consideration of the costs and benefits. Bankruptcy is a creation of federal law, and goes through federal courts. Therefore, the procedure governing bankruptcy in California will be roughly the same as it is anywhere else in the U.S. But individual courts have different rules for what property is exempt, so you should consult a local San Diego, California before you file.
Chapter 7 Bankruptcy in San Diego, California
In San Diego, California, there are 2 common forms of commonly-used consumer bankruptcy: Chapter 7 and Chapter 13. Chapter 7 involves liquidation of some of a debtor's assets. It requires that a certain percentage of the debtor's property to be sold to pay off as much debt as possible. The majority of property that most people own, however, is exempt. This normally includes homes, vehicles, retirement accounts, and others. These are not available to creditors.
Once the qualifying property is sold, and the funds transferred to the creditors, the dischargeable debt is cleared. Some types of debt, however, can't be absolved in Chapter 7 Bankruptcy in San Diego, California. These include student loans, criminal fines, and taxes, among others. If most of your debt can't be absolved, Chapter 7 might not be the best choice for you.
Chapter 13 Bankruptcy in San Diego, California
Chapter 13 Bankruptcy in San Diego, California is very different from Chapter 7. Whether or not it is a better option is highly dependent on the facts of each particular case. Chapter 13 bankruptcy does not excuse debt, it restructures it. This involves a court coming up with a altered repayment plan designed to be manageable for the debtor. This new plan sets aside the terms of the original contracts that created the debt in the first place. This creates a new payment structure, normally involving a single monthly payment, that the debtor should find manageable.
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Which Type of Consumer Bankruptcy Should I File in San Diego, California
Whether Chapter 7 or Chapter 13 is the right choice for you depends heavily on your particular situation. If you have a steady income stream, and a lot of non-exempt property, Chapter 13 might be right for you. If you don't have a steady income, and most of your property is exempt, Chapter 7 might be a better way to go.
Of course, you should always seek the counsel of an experienced local San Diego, California bankruptcy attorney before you make the decision to file. He or she will be able to advise you of your options, and suggest the best possible course of action for your individual situation.
Consumer Bankruptcy Attorneys in the Largest CA Cities
Life in San DiegoSan Diego is one of California's most beautiful cities. It is filled with history, great attractions, great weather, and gorgeous beaches! Families can enjoy a day at the USS Midway Museum, Balboa Park, San Diego Zoo, Torrey Pines State Reserve, Cabrillo National Monument, Pirate Ship Adventures, and Point Loma.
Alongside all the great attractions for family are the excellent restaurants, famous Mexican food, shopping (with great outlets like the Las Americas Premium Outlets), and great nightlife, especially in Downtown San Diego's Gaslamp District. If you want to just relax and enjoy the beach, San Diego has many beaches to choose from such as Coronado Beach, Ocean Beach, Del Mar, La Jolla, Pacific Beach, and Mission Beach.
San Diego also caters to its citizens' legal needs with many reputable law firms having office locations in prime areas of San Diego. In fact San Diego also has three law schools, whose graduates often find employment in these firms and travel around the United States for various cases. All in all, San Diegans have a beautiful ambiance to enjoy and great lawyers to protect and advocate for their legal interests.