Whether you are an individual in San Dimas or a business owner, you likely have debt. If it is manageable, then you or your business can go about your daily routine without much concern. But when debt becomes so overwhelming that you struggle to meet payments or find you cannot pay them at all, then consider calling a San Dimas bankruptcy attorney at (888) 754-9877.

There are different types of bankruptcy for individuals and businesses that apply depending on the amount and nature of debt, the type of business entity and the nature of the assets and goals of the debtor or business. A San Dimas bankruptcy attorney will explain these for you and advise you on which type can benefit your debt situation.

San Dimas bankruptcy attorneys handle the 3 most common types of bankruptcy–Chapter 7, Chapter 13 and Chapter 11. All San Dimas bankruptcy attorneys have extensive experience in handling these filings.

Chapter 7 Bankruptcy

Any business or individual can file Chapter 7, though a Chapter 7 Bankruptcy Lawyer will have to confirm that a San Dimas consumer meets certain income criteria. A business that files can wipe out debts and sell off its assets to pay off the business debts to the extent possible.

If your Chapter 7 Bankruptcy Lawyer verifies your eligibility, you can use Chapter 7 to erase business debt for which you are personally liable along with unsecured debt such as credit cards, promissory notes and personal loans, medical bills, deficiencies from a repossession and unpaid rent or utilities.

Your Chapter 7 Bankruptcy Lawyer will also review your obligations before and after filing. Your only appearance is at a 341 Meeting with the trustee and your Chapter 7 Bankruptcy Lawyer to review your financial affairs. You can expect a final discharge about 4 months after you file.

Chapter 13 Bankruptcy

A San Dimas bankruptcy lawyer might advise you that Chapter 7 is not available to you because of your income or that you can lose valuable assets. If you elect to file Chapter 13, your Chapter 13 Bankruptcy Attorney will prepare a repayment plan for you to pay back creditors over 3 or 5 years. Secured creditors and those with priority like recipients of child support or alimony are paid first. Unsecured creditors are only paid if they would have been under Chapter 7. Your Chapter 13 Bankruptcy Attorney can detail this for you.

San Dimas sole proprietors can file and include business debt if they personally guaranteed it. As your Chapter 13 Bankruptcy Attorney can explain, a Chapter 13 can derail a foreclosure or auto repossession action and you can include the arrearages in the plan.

Do not hesitate to contact your Chapter 13 Bankruptcy Attorney if some event makes your monthly payment difficult to make so that a revision can be requested.

Chapter 11 Bankruptcy

If your San Dimas business is being stifled by increasing debt, have a San Dimas bankruptcy lawyer advise you on Chapter 11. In some cases, creditors can force a company into involuntary bankruptcy to get its debts paid. This is a repayment proceeding that also allows companies to restructure its operations.

A Chapter 11 Bankruptcy Lawyer will prepare a disclosure statement to give creditors enough information to make an educated decision about whether to confirm the reorganization plan, also drafted by the Chapter 11 Bankruptcy Lawyer.

If confirmed, the company can continue its daily business operations. Any major business decisions such as hiring specialists, selling assets, re-negotiating contracts and leases and seeking financing must be court-approved. Your San Dimas bankruptcy lawyer keeps the court informed about the company’s progress and handles creditor issues.

If you are a San Dimas individual with substantial debt and ineligible to file Chapter 7 or 13, your San Dimas bankruptcy lawyer can advise you on filing Chapter 11.