Many people have misconceptions about bankruptcy, especially about who can file and when, what debts can be canceled and what assets may be lost. South Gate residents can get answers from a South Gate bankruptcy attorney at (888) 754-9877.

Consumers and businesses can generally file for bankruptcy protection or liquidation under Chapters 7, 13 and 11. Chapter 7 can cancel out unsecured debt like credit cards, department store bills, personal loans and some business debts. Corporations will have their assets sold and distributed to creditors in an orderly manner but most consumers can retain their assets. A South Gate bankruptcy attorney can explain who is eligible, what debts are not dischargeable and the limits on some assets.

Chapter 13 can save a home or car and give South Gate consumers time to repay debts. Talk to a South Gate bankruptcy attorney to see if it can benefit you. Chapter 11 allows businesses to reorganize while paying back debtors in a complicated process that requires the specialized knowledge of a South Gate bankruptcy attorney.

South Gate bankruptcy lawyers handle all three of the most common bankruptcy chapters.

Chapter 7 Bankruptcy

Eligible consumers for Chapter 7 are those whose incomes do not exceed the state median for their household size or whose disposable debt is below a limit. Have a Chapter 7 Bankruptcy Lawyer confirm this for you. Credit card and medical bills are the most common debts wiped out in a Chapter 7 but do not just get a card and max out a card and expect to have your obligations discharged without first speaking to a Chapter 7 Bankruptcy Lawyer.

A Chapter 7 Bankruptcy Lawyer files a petition in your case listing all your debts and assets along with household expenses and any substantial or unusual financial transactions over the past 2 years. Have your Chapter 7 Bankruptcy Lawyer explain their significance. You and your South Gate bankruptcy lawyer will meet the trustee overseeing your case to review your petition. If all is well, expect a discharge of unsecured debt in about 90 days.

Corporations and partnerships that file Chapter 7 have to cease operating and will lose assets belonging to the business but a sole proprietor can have his/her business and personal unsecured debts discharged and retain business and personal assets.

Chapter 13 Bankruptcy

Sole proprietors with significant non-exempt assets can file Chapter 13 and continue operating. Consult a Chapter 13 Bankruptcy Attorney about your business assets. Individuals ineligible for Chapter 7 or who stand to lose valuable non-exempt assets can benefit under this chapter if your Chapter 13 Bankruptcy Attorney recommends it. In this process, your Chapter 13 Bankruptcy Attorney files a repayment plan that repays creditors in order of priority over 3 or 5 years. South Gate residents can include past due payments on car loans, mortgages, student loans, taxes, alimony and child support.

When the plan concludes, any unpaid unsecured debt is discharged.

Chapter 11 Bankruptcy

A corporation, LLC or partnership seeking to stay in business can seek protection from creditors in a Chapter 11 reorganization. These businesses can keep its assets but must pay back creditors pursuant to reorganization plan. A Chapter 11 Bankruptcy Lawyer is needed to navigate the complexities of this chapter. The business can restructure and sell off assets, expand some operations, negotiate new contracts and leases and seek financing–all decisions that must be court-approved. Your Chapter 11 Bankruptcy Lawyer has to file numerous reports and ensure the business pays certain administrative fees. Small businesses can be fast-tracked with the help of South Gate bankruptcy lawyer

Bankruptcy consultations are readily available with a South Gate bankruptcy lawyer at (888) 754-9877. Get your questions answered and have a South Gate bankruptcy lawyer represent you if bankruptcy is right for you.