How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Ellen Your Own Question
Ellen
Ellen, Attorney
Category: Bankruptcy Law
Satisfied Customers: 36714
Experience:  Bankruptcy Lawyer. Experienced.
9968427
Type Your Bankruptcy Law Question Here...
Ellen is online now
A new question is answered every 9 seconds

I live in California and have a question about bankruptcy.

Resolved Question:

I live in California and have a question about bankruptcy. My husband had a job off and on for the last few years. This put us in a financial bind. We have about $80K in credit card debt. We are not behind on any bills because I have been using one to pay another. i cannot do this anymore. The total monthly payments are too high to handle anymore. We are both now employed. What are the options? We own a home and two cars. Still making payments on the house and the cars. Will we lose anything we currently own?
Submitted: 4 years ago.
Category: Bankruptcy Law
Expert:  Ellen replied 4 years ago.

WebLaw :

*This chat is not intended as legal advice. It is general information that may or may not apply to your situation and should not be relied upon.*

WebLaw :

Welcome to JustAnswer,

So sorry to hear of this dilemma. If my answer is not clear to you or does not fully answer your question, please ask me for clarification by using the reply button.

WebLaw :

The assets that you may retain depend upon the State you live in and the chapter bankruptcy that you file. I will explain.

As an individual, there are two types of bankruptcy available. A Chapter 7 and a Chapter 13. There are distinct differences in between a Chapter 7 and a Chapter 13 bankruptcy.

A Chapter 7 bankruptcy could discharge (erase) all of your unsecured debt such as credit cards, judgments and personal loans. It would be an opportunity for a fresh financial start. You may have to surrender assets, if any, that exceed your exemption. However if everything you own is exempt, you should lose nothing but your debts.

A Chapter 13 bankruptcy is a repayment plan for an individual. It may require that you repay some of your unsecured credit card debt over a 3 -5 year period. However, you may retain assets that exceed your exemption.

Here are the exemptions for California:
http://www.bankruptcyinformation.com/CA_exemp.htm

Customer:

Sounds like 13 would be a better option

Customer:

Are you located in California

WebLaw :

It may be in your situation.

WebLaw :

I am not permitted to represent customers of the site. Here is a link to a free legal referral site that may assist you in locating competent local counsel: www.Martindale.com

Customer:

Ok, thanks. Is there anything else i should be asking

WebLaw :

A thorough analysis of your financial situation should be part of the analysis that your attorney will do

WebLaw :

Please accept and then feel free to ask me another question on a new page - if you're a subscriber, you can do so at no additional cost beyond your monthly payment. Start your new question with "for WebLaw" so that the question is directed to me and I can give your question my immediate attention

Thank you very much,
WebLaw

Customer:

ok, thanks. have a good day

WebLaw :

you too!

Ellen and other Bankruptcy Law Specialists are ready to help you