Chapter 7 Bankruptcy

Chula Vista Chapter 7 Bankruptcy Attorneys

Helping You Defeat Debt

Drowning in bills you know that you cannot pay can be terrifying, especially as you start to receive calls from impatient creditors. A divorce, devastating accident, unexpected illness, or loss of income can all contribute to a situation where you cannot keep up on payments. Before long, late fees, penalties, and interest together can compound your debt and make the problem seem insurmountable. While it is understandable to feel stressed, you may be able to retake control of your finances through filing for Chapter 7 bankruptcy.

Our Chula Vista Chapter 7 bankruptcy lawyers at The Sexton Law Firm are ready to help you defeat debt through filing for bankruptcy. We have a complete familiar with Chapter 7 bankruptcy and can guide you through each step of the process. Our team can determine your eligibility, safeguard exempt assets from liquidation, and help you understand what debts you may be able to discharge. Our goal is to help you escape overwhelming debt and work toward a more financially sustainable future.

Do not let debt take over your life. Contact us online or call (619) 202-8976 to see if Chapter 7 bankruptcy makes sense for you.

Qualifying for Chapter 7 Bankruptcy

You will likely only qualify for either Chapter 7 bankruptcy or Chapter 13 bankruptcy. Chapter 13 bankruptcy is reorganizational in nature but will involve you partially repaying your creditors. If you do not currently have any disposable income, you will likely be eligible for Chapter 7 bankruptcy.

To determine your eligibility, you will need to undergo the California Means Test. First, determine your average monthly income over the last 6 months. Then, compare that number with the median average income for your household size in California. If your income is less than the median average, you automatically qualify for Chapter 7 bankruptcy.

If your income meets or exceeds the median average, you still may qualify for Chapter 7 bankruptcy. You will need to assess your current level of disposable income by subtracting necessary living expenses from your average monthly income. Necessary expenses include food, transportation, some education costs, taxes, and medical care. You can also safely count any secured payments, including payments on your rent, mortgage, or car loan.

Any funds you have left over after subtracting necessary expenses constitutes your disposable income. If you have too much disposable income, you will likely be asked to file for Chapter 13 bankruptcy instead of Chapter 7 bankruptcy. Our team can help assess your eligibility and ensure all qualifying expenses are deducted when determining your level of disposable income.

How Chapter 7 Bankruptcy Works

Once you file for Chapter 7 bankruptcy, you are protected under a court order called the “automatic stay.” This injunction immediately prevents creditors from communicating directly with you and freezes any collections actions. The automatic stay is a powerful feature of bankruptcy and can be used to stop foreclosures, end creditor harassment, and prevent vehicle repossessions. The order remains in effect until your bankruptcy filing has been completed.

With the automatic stay in place, a bankruptcy court will appoint a trustee to oversee your case. They will meet with you and your legal representation to initiate the liquidation process.

You may have heard about liquidation, which involves the trustee selling – or liquidating – nonexempt property to help partially repay your debts. While this can sound scary, the reality is that a Chapter 7 bankruptcy is not meant to leave you without any property. You are able to use a federal or state exemption schedule to protect certain types of assets from liquidation. Our Chula Vista chapter 7 bankruptcy attorneys can help you leverage these exemptions and minimize any liquidation impacts.

Using California exemptions, Chapter 7 bankruptcy filers can generally protect:

  • Your primary residence
  • A motor vehicle
  • 75% of your wages
  • Retirement benefits, including pensions
  • Public benefits, including unemployment payments
  • Insurance proceeds
  • Personal property, including jewelry, art, clothing, furniture, and other sentimental items

Every bankruptcy is different. Do not assume that exemptions will automatically save assets that are important to you: Always consult with an experienced bankruptcy lawyer before filing. Our team can evaluate your situation and walk you through what types of property you will be able to safeguard from liquidation.

When liquidation has concluded, the bankruptcy court will generally allow you to discharge any remaining unsecured debts. Unsecured debts include most types of debt that do not have collateral attached, including credit card bills, medical debt, utility bills, and personal loans.

Understand that you will not be able to discharge secured debts like your mortgage or vehicle loans. However, the ability to discharge other types of debt can give you the financial flexibility to redirect funds toward these payments, allowing you to keep your home and car. We can help you explore these options.

We Can Help You Navigate Chapter 7 Bankruptcy

Filing for Chapter 7 bankruptcy can be intimidating, especially if you are concerned about losing your home or other important assets to liquidation. Our Chula Vista Chapter 7 bankruptcy lawyers at The Sexton Law Firm have helped countless individuals and their families leverage Chapter 7 bankruptcy’s many benefits. We can determine whether filing might make sense for you and work to minimize your estate’s exposure to liquidation.

Take the first step to conquering your debt by scheduling a consultation with our team. Call (619) 202-8976 or contact us online to get started today.

Why Hire The Sexton Law Firm?

  • We Listen to Your Story and Create a Strategy to Achieve Your Goals
  • With offices in Chula Vista, Oceanside, and La Mesa, we serve clients throughout all of Southern California
  • We Offer Free Consultations - Regardless of the Legal Matter
  • We Offer Phone and Video Consultations For Your Safety and Convenience
  • We Are Bilingual and Serve Our Clients in English and Spanish
  • We Are a Family Owned and Operated Law Firm
Attorneys Dedicated to Protecting Your Legal Rights

Awards & Accolades

/

5 Star Reviews

Learn Why Clients Trust Us
    They gave me outstanding service!

    “Andrew and his staff at James Sexton law firm are very courteous and professional when handling my bankruptcy. I was a little nervous going into this but came out feeling unstressed. I was given a ...”

    - Michael Harkiewicz
    From the very beginning, they were professional and very efficient in dealing with my case.

    “I was in a car accident back in July and got rear-ended because some guy was rushing on his way to work, you would think the guy would want to save more time by not filling out a police report and ...”

    - Jen Miller
    He allowed me to vent, responded accordingly, and return my text message as if we were friends.

    “Through this very difficult period in my life, I reached out to the Legal Aid Society and they assigned a Lawyer to assist me in filing for bankruptcy protection. Andrew Sexton took the time to speak ...”

    - Brian Powell
    I would highly recommend this law firm for anyone needing help!

    “The Sexton Law Firm was very helpful during the entire process. Andrew was very helpful and knowledgeable. However, Asia was the most helpful. She answered all my questions and relieved my worries ...”

    - Ginger Russ
    His council was well received, and it was honest.

    “I was referred to Mr. Andrew Sexton at a time of great need, confusion, and embarrassment. His council was well received, and it was honest, offered clarity, and calmed four shoulders worth of ...”

    - Chris Myers
/

Contact the Sexton Law Firm for a Free Consultation

Se Habla Español
  • Please enter your first name.
  • Please enter your last name.
  • Please enter your phone number.
    This isn't a valid phone number.
  • Please enter your email address.
    This isn't a valid email address.
  • Please make a selection.
  • Please enter a message.