Debt and Bankruptcy Attorney

Bankruptcy Help in California

Debt and Bankruptcy Attorney in the San Gabriel Valley

Mounting debt, unpaid bills, wage garnishment, and constant calls from debt collectors can cause extreme levels of stress and reduced quality of life.  However, there are solutions available for people and businesses in serious trouble with their finances.  Bankruptcy, debt consolidation, and debt settlements can help those struggling with debt recover financially while protecting assets.  An experienced bankruptcy attorney can make a difference.

The Law Offices of Scott Warmuth can help individuals and businesses escape crushing levels of debt through bankruptcy, consolidation, and creditor negotiations.  Our legal team is ready to help you take the steps necessary to ensure a brighter financial future.

We are with you, all the way.  Our firm offers free consultations to go over debt relief options available to you.  We begin our work to stop the daily harassment from creditors and debt collectors as soon as you become our client.  We will help you get your finances in order.  Call us today at 888-517-9888 to speak with a bankruptcy attorney and begin your new financial journey.

We can help you meet your financial goals.

Personal Bankruptcy Attorney in Southern California

Bankruptcy is a legal safety net to help people who are unable to pay their bills due to financial hardship.  Financial hardship can come about unexpectedly through a sudden job loss, an unexpected illness, divorce, or even because of an over-extension of credit.  These hardships can lead to extremely damaging events, such as the repossession of a vehicle, foreclosure of a home, or wage garnishment.  Filing for bankruptcy offers an opportunity for people buried under large amounts of debt to start over with a clean financial slate.

Individuals will typically file for one of two types of bankruptcy.

Chapter 7 Bankruptcy

Chapter 7 allows individuals to remove qualifying debt while agreeing that a bankruptcy trustee (a person whose job it is to oversee your bankruptcy claim and make impartial decisions) can take control of certain assets to pay those debts.  Under Chapter 7, some debts cannot be discharged and some assets cannot be reclaimed.  In California, asset exemptions may include up to certain amounts of home equity, personal property, wages, retirement plans, public assistance benefits, tools, insurance policies, and more.  The goal of a Chapter 7 bankruptcy is to offer nonexempt assets for sale in exchange for the removal of debt obligations.

California law offers two different bankruptcy exemption systems, commonly referred to by their civil codes of 703 and 704.  Each system offers different levels of exemptions for different protected assets.  Which exemption system is best for your individual situation will usually depend on your living situation and marriage status.  Your attorney will help you determine which exemption system is best for your bankruptcy filing.  In some cases, the person filing for bankruptcy may not lose any assets in the bankruptcy process.

It is important to understand that filing for bankruptcy may not eliminate all of your debt.  Debts that cannot be discharged could include student loans, income taxes, child support, legal restitution, recent purchases, and more.  The bankruptcy process is not right for everyone.  Our law firm will help you weigh the benefits and detriments before pursuing bankruptcy.

Chapter 13 Bankruptcy

Chapter 13 is for individuals in serious debt who also have a steady income, sometimes called a Wage Earner Bankruptcy.  Chapter 13 bankruptcy differs from Chapter 7 because it does not reclaim nonexempt assets.  Instead, Chapter 13 bankruptcy follows a repayment plan, the details of which are determined based on how much money you make, how much money you owe, and the value of your assets.  The goal of a Chapter 13 filing is to repay your debts over the next few years, with most plans lasting between three and five years.

There are debt limits for Chapter 13 bankruptcies.  As of April 2019, the limit for unsecured debt is $1,257,850 and the limit for secured debt is $419,275.  Unsecured debt typically refers to debt without collateral, such as a credit card, medical bills, or personal loans.  Secured debt means the debt has a “security”, or asset attached, typically referring to debts such as mortgages and car loans.  Individuals who exceed the debt limits for Chapter 13 bankruptcy may be eligible for Chapter 11 bankruptcy, typically used by businesses and corporations.

We Are Here to Help

Every bankruptcy case is unique.  It’s important to hire a bankruptcy law firm that has your best interests in mind.  A Chapter 7 bankruptcy attorney will ensure that you are taking the best course of action possible to reduce your debts and protect your assets.  Call the Law Offices of Scott Warmuth today at 888-517-9888 to receive a free legal consultation.

Chapter 11 Bankruptcy for California Business Owners

Chapter 11 bankruptcy is often referred to as “business reorganization plan”.  It allows business and corporations to stay in business while they restructure debt in order to repay creditors.  Chapter 11 is also available to certain individuals who do not qualify for a Chapter 7 or Chapter 13 bankruptcy.

Chapter 11 bankruptcies can be extremely complicated and difficult to pursue successfully.  The first step in the process is to complete and file a petition with the bankruptcy court.  After the petition is filed, the petitioner will have four months to present a reorganization plan that satisfies all parties.  While the plan is being developed, the business continues to operate normally.  Under certain circumstances, the bankruptcy court will appoint a trustee to operate the business.  And regardless of who is running the business, while undergoing restructuring, the bankruptcy court must approve any major decisions made during the process.

The bankruptcy court has a lot of power in determining the result of a business reorganization plan.  The court determines if a submitted plan is likely to succeed, if the plan is proposed properly, fairly, and in every party’s best interest.  The court can even to decide to halt Chapter 11 proceedings entirely if it does not believe that the business can reorganize successfully.

There is a significant chance that a Chapter 11 bankruptcy does not conclude successfully.  In fact, the successful rate of Chapter 11 bankruptcies is estimated at about 10-15 percent.  For the greatest chance of success, businesses pursuing Chapter 11 reorganization should contact a bankruptcy attorney.  The Law Offices of Scott Warmuth offers free bankruptcy legal consultations.  Call us at 888-517-9888!

Debt Consolidation in California

For individuals who are looking to escape debt but want to avoid the potential negative consequences of a bankruptcy, debt consolidation is a less-risky alternative.  Debt consolidation takes all of your unsecured debt balances accruing high interest charges and pays those debts off with a lower interest loan.  Debt consolidation can dramatically reduce the monthly cost for some eligible borrowers and also lower the number of monthly payments to one.  For consumers who continuously pay only the minimum required amount on monthly credit card bills, debt consolidation is a way to actually reduce your level of debt.

Pursuing debt consolidation requires a significant amount of trust.  The Law Offices of Scott Warmuth has been helping under-served communities protect their legal rights for more than 35 years.  Our debt consolidation attorneys always pursue debt consolidation negotiations in a manner that best represents the financial interests of our clients.  We’ll explain the pros and cons of pursuing debt consolidation and offer advice as to whether your specific situation is better suited for a different legal remedy.

We can help you meet your financial goals and become debt free.  You can speak with a legal expert today by requesting a free consultation by calling 888-517-9888!

Debt Settlement Legal Help in California

For people who are in serious debt and have missed some payments, debt settlement may help you avoid bankruptcy.  Debt settlement is different than debt consolidation in that a debt settlement attorney will attempt to negotiate with creditors to “settle” debt for pennies on the dollar.  For example, if you owe $20,000 to a creditor a debt settlement attorney may offer the creditor $5,000 to consider the debt paid.  This process would be repeated with every creditor.  Results may vary depending on the creditor and their willingness to forgive debt; lenders are under no obligation to pursue settlement negotiations.

Debt settlement is risky and not right for everyone, and our law firm cannot recommend certain negotiation tactics, including purposefully missing payments.  Debt settlement should only be considered as a last alternative to bankruptcy.  Our attorneys can walk you through the pros and cons of pursuing debt settlement as a way to escape debt.  Our consultations are free, so call us today at 888-517-9888 to see if this debt relief tactic may be right for your individual situation.

Personalized Debt Relief Legal Service

The Law Offices of Scott Warmuth can help people suffering financially escape from debt.  We examine our clients’ financial situation to help them best determine which legal actions may be beneficial to their individual situations.  Our dedicated attorneys have been helping our clients protect their legal rights and pursue justice since 1984.

We’re on your side, all the way!

We offer free consultations to help you determine if bankruptcy, debt consolidation, or debt negotiation is right for you.  Call the Law Offices of Scott Warmuth at 888-517-9888 to schedule your free debt relief consultation.


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