Welcome to Sacramento Law Group LLP, a bankruptcy firm providing affordable representation in chapter 7 and chapter 13 bankruptcy. Our Folsom bankruptcy lawyer can help you achieve debt relief without emptying your bank account. Our popular $900 fee is available for Folsom residents considering chapter 7 bankruptcy. If you need to file bankruptcy and don’t have several thousand dollars to spend on an attorney call us for a free bankruptcy consultation at (916) 596-1018.
One thing that sets our firm apart from other Folsom bankruptcy attorneys is our affordable chapter 7 bankruptcy fee. While many bankruptcy attorneys charge $1,500 or more for chapter 7 bankruptcy, most clients qualify for our $900 flat fee. You might be asking yourself, “How can they charge so little for representation in chapter 7 bankruptcy?” The answer is that we don’t pay for advertising. Our clients find us on the internet and recognize the value of our services. Since we don’t spend money on advertising we pass the savings onto our clients.
What Does Our Fee Cover?
Our fee compensates us for representing you in chapter 7 bankruptcy. Specifically, it includes all of the services normally required to receive a discharge and closing order in chapter 7 bankruptcy. However, like many bankruptcy attorneys, our fee does not include the $335 court filing fee, the cost of receiving credit counseling (which is only $15), or a credit report (which is usually free). Fortunately, there are things we do to decrease the total cost of bankruptcy for our clients. First, if appropriate we can file some paperwork with the court to get the $335 filing fee broken up into monthly installments. Furthermore, we can direct you to a $10 online credit counseling provider and order a 3-source credit report for you at-cost. (In truth, we actually take a slight loss in ordering your credit report, but we prefer round numbers). In short, our flat fee covers our attorney’s fees, but we take the aforementioned steps to decrease the total cost of bankruptcy for our clients.
Chapter 7 Bankruptcy
Many Folsom clients call us because they need to file chapter 7 bankruptcy. In chapter 7 bankruptcy we can eliminate many forms of unsecured debt such as credit card debt, medical bills, payday loans, personal loans, and debt associated with past foreclosures or repossessions. However, not everyone qualifies for chapter 7 bankruptcy. To file chapter 7 bankruptcy your current monthly income must be below the California median income for a household of your size or you must pass the means test. The means test is a statutory calculation designed to determine whether your chapter 7 bankruptcy would be an “abuse” since you can afford to make minimum monthly payments to creditors in chapter 13 bankruptcy. If you’re concerned about qualifying for chapter 7 bankruptcy call our bankruptcy attorney at (916) 596-1018 for a free consultation.
Do You Lose Your Property?
Not usually. You may have heard that property is sold in chapter 7 bankruptcy. This occurs in “asset” cases, so named because there is property that cannot be exempted and thereby protected in bankruptcy. However, most chapter 7 cases are “no asset” cases because all of the property can be protected using California exemptions. To learn whether your property is exempt or subject to sale in chapter 7 bankruptcy call our attorney.
What Debts Cannot Be Eliminated
Certain debts can’t be eliminated in bankruptcy. Debts related to divorce such as child support and spousal support cannot be eliminated. In addition, recent tax debt and student loans are generally non-dischargeable in bankruptcy.
Chapter 13 Bankruptcy
Clients with high income or non-exempt property should consider chapter 13 bankruptcy. In chapter 13 bankruptcy you can usually keep property that would otherwise be sold in chapter 7 bankruptcy. Furthermore, you can save your home from foreclosure in chapter 13 bankruptcy and eliminate an underwater second mortgage. In exchange for this retention of property, you will need to complete a 3 to 5-year repayment plan. The repayment plan will call for you to repay certain debts and commit your disposable income to repay certain creditors. At the end of the repayment plan, you will receive a discharge eliminating your liability for discharged debts.
Many people file chapter 13 bankruptcy to stop foreclosure and save their homes. In chapter 13 bankruptcy you can repay late mortgage payments over 3 to 5 years. Once repaid you will be current on your mortgage and no longer at risk of foreclosure. Unlike short sales with Folsom real estate agents, chapter 13 bankruptcy does not require your lender’s approval or consent. As long as your chapter 13 repayment plan conforms to certain standards your lender must accept the plan while you stay in your home.
To speak with a Folsom bankruptcy lawyer call our firm at (916) 596-1018.