Bankruptcy Law Questions? Ask a Bankruptcy Lawyer Now.
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Do you have any equity in the home?
Do you have any assets in the business in your name?
If you file a bankruptcy the 20,000 could be discharged, however your credit would be hurt for a few years,
and any non exempt assets you own could be taken to pay off the debt
If your home has limited equity, and your business has limited assets, than a bankruptcy would be fine and you would not be hurt too much
here are some of the exemptions you can claim if you choose to file:• Homestead Exemptions: Most people can exempt up to $75,000 on their homestead, but this climbs to $150,000 for anyone 65 or older, disabled, or 55 or older if their gross income is less than $15 - $20,000.• Wages: Under the wages exemption, a bankruptcy lawyer in California may help you to keep up to 75% of your wages.• Autos: The automobile exemption helps you save up to $2,300 of equity in autos.• Personal Property:will help you to save up to $6,075 for these items. This exemption can also be applied to tools you use for your business or profession.
I don't have any equity on the house. Can you give me an example of what kind of assets in the business? I own a gym. What does homestead mean?
Do you own the gym or have a lease?
In regards XXXXX XXXXX wages, what do u mean by helping me keep up to 75% of my wages? How does that work?
I lease the place
It is a Curves franchise
In terms of wages, how much is your current income?
Is the lease worth anything if sold?
I am losing $ on my business since the recession. As of today, I only make anywhere from $1000-$2000 a month (this is after I have paid all my bills).
Is the lease worth anything, and is it in a corporation or your personal name?
I may not be even able to sell it. My franchise is losing $. I have seen other Curves owners try to sell theirs for $1 just to get it out of their hands. Most of them close it down.
It is a personal name
than you are fine,
these assets are not worth anything,
in terms of the wages, that is if you have certain income saved in a bank account,
75% would be protected if it is over a certain amount, in your case, where you have limited income,
it is not an issue
I have about $8,000 saved in a savings...will that be a problem?
It could be, as $6075 is protected,
oh, i see
however, you can use the money to purchase exempt property such as an IRA, to protect some of it,
How much does it cost to file?
their is a personal property exemption of $6075
does personal property include the car?
Their is a $2300 exemption in a car,
If you own the car and it has more than $2300, it could be sold
what if my car is worth $5000? What would happen with the 2300 exemption?
will I be forced to sell it?
Yes, it could be sold, or you would have to give the court the $2700 extra
So in short, I won't lose my business or house?
how much does it cost to file?
You should seek counsel from a local CA bankruptcy attorney, but from the facts you have stated, with your limited assets, and income, you should be fine
$350 for the Court, and certificates required, and $500-$1500 for an attorney if you use one
is it possible to file on my own without paying anyone?
Yes, it is possible, but difficult, I would look into a paralegal service which their are many online who just prepare the petitions for you they are cheap
Also, a website like craigslist has bankruptcy petition petition paralegals as well
will they be able to counsel me?
the paralegal, i mean?
only to prepare the peitition
would it still be cheaper if I pay for counsel, and then go to a paralegal for the paperwork?
In your case I would shop around a chapter 7 may be $900, while a paralegal is $200
$900 to whom? the lawyer for counsel?
yes the attorney fee
If you have any further questions please do not hesitate to ask
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do you recommend anyone in the Ontario, California area?
we are not allowed to,
you can use craigslist, or online to find a local attorney or even contact the local bar association,
oh, i see. So can I ask u questions if I have any regarding the same things in the future?
yes, you can ask for wallstreet esq, and I will be happy to assist you
oh, one last thing...can the bank sue me after i file for bankruptcy?
no, once you file bankruptcy all civil actions must stop, and all debts can be discharged, unless they are taxes, or child support
ok...thank you so much!!! I will click the accept button now. Happy New Year!
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