Bankruptcy in San Bernardino 
 

Thank you for visiting the San Bernardino Bankruptcy Law Offices of “insert attorney name”. 

Filing bankruptcy is a difficult decision that shouldn’t be undertaken lightly.  If you’re in a financial situation that just keeps getting worse, bankruptcy might be the opportunity you need to get protection against your creditors.  Please take a moment and visit our “Why hire us” page to see what makes us different from the other Bankruptcy attorneys in and around San Bernardino.  We can show you how to regain control of your financial life and rebuild your credit again. 

Overview of Bankruptcy

  • Bankruptcy provides a fresh start.
  • Provides relief to millions of people each year in the United States.
  • Once you file for bankruptcy, your creditors are prohibited from contacting you.
  • Bankruptcy remains on your credit report for 10 years.
 

You know you need to consider bankruptcy when….

  • Creditors are calling you day and night.
  • Creditors are sending you letters on a daily basis.
  • Your expenses are higher than your paycheck.
  • You are being sued.
 

United States Bankruptcy Court

  • United States Bankruptcy Court

   Central District of California

   3420 Twelfth Street

   Riverside, CA 92501 

   Telephone:  951-774-1000

   Monday – Friday:  9:00 a.m. to 4:00 p.m. 

Bankruptcy Laws

  • Bankruptcy Law is a Federal law – part Title 11 of the United States Bankruptcy Code.
  • Bankruptcy laws do not regulate bankruptcy – the laws govern certain aspects of the debtor/ creditor relationship.
  • All proceedings are supervised in the United States Bankruptcy Courts.
  • Provides for a plan that will allow you to resolve your debts through the liquidation of your assets.
  • In come cases a business owner can continue to operate the business and pay the debts by generated revenue.
  • Allows some debtors to be discharged of financial obligations after their assets are distributed among creditors.
 

Bankruptcy Options

Chapter 7

  • Bankruptcy Code liquidation / straight bankruptcy
  • Can be filed by an individual, partnership or corporation.
  • Court filing fee is $299.
  • If you are liable for a corporation’s debts, you will remain liable.
  • A court-appointed trustee will sell all non-exempt property in order to pay creditors.
  • Best option to pay:
  •  
    • Credit cards
    • Medical bills
 

Required for Chapter 7 Protection

  • Means Test
  • Must qualify before you can receive Chapter 7 bankruptcy protection.
  • The Means Test compares your income to the median annual income (for your family size) in California:
  •  
    •  
      • 1 person  $49,182
      • 2 persons  $65,097
      • 3 persons  $70,684
      • 4 persons  $79,971
 
  • Totality of the Circumstances Test
  • Must satisfy after you qualify the Means Test.
  • Looks at your income, expenses and any money left after paying your living expenses.
 

Chapter 13

  • A debt repayment chapter – must be approved by the court.
  • Court filing fee is $274.
  • Must have a regular income.
  • Option for sole proprietors.
  • You can keep your property.
  • You will repay creditors from future income.
  • A court-appointed trustee will collect your payment and distribute to creditors.
  • When payments are completed, you will receive a discharge of most of your debts.
 

Chapter 11

  • Typically used for the restructuring/reorganizing of businesses.
  • The court filing fee is $1,039.
  • Allows you to continue to operate your business under the supervision of the court.
  • Allows you to get out of certain leases and contracts.
  • Must have a lot of assets and/or income in order to restructure and repay your debts.
  • The restructure plan will be voted on by your creditors and approved by the court.
 

 

Chapter 12

  • Allows farmers to pay off real estate debts.
  • Uses monies from future crops.
 

Conclusion

Bankruptcy is a remedy for those who have simply been buried in debt.  Call the Bankruptcy Law Offices of “insert attorney name” in San Bernardino.  Let us show you how to discover financial freedom and put your life back to the way it was.