Bay Area Bankruptcy Law Firm
In Debt? Call (888) 850-0624 For A Free Consultation
At Compass Bankruptcy Law Group, we are a reliable legal practice representing individuals, businesses, and organizations seeking relief from debt and creditor harassment. Our founding attorney, Reno Fernandez, is a certified specialist in bankruptcy law and has advocated tirelessly for clients for over 16 years. His specialized knowledge and hard-earned experience guide everything we do at our Bay Area bankruptcy law firm.
This page provides information about the types of bankruptcy we handle, how to determine your candidacy for bankruptcy, and the benefits of this legal action. Should you have specific questions about your situation and want to know how our attorney can help you, reach out. We offer affordable, $0 down services and can arrange payment plans. Plus, initial consultations are free. Reach out to schedule yours today.
Contact us online to learn about the available options for taking control of your debts.
The Types of Bankruptcy
At Compass Bankruptcy Law Group, we can offer support, guidance, and advocacy as you file for Chapter 7, 11, or 13 bankruptcy.
Below are further details about these bankruptcies:
- Chapter 7: This type of bankruptcy involves liquidating non-exempt assets to pay creditors. It is typically an option for individuals and businesses below certain income and asset limits.
- Chapter 11: Primarily used by businesses, this bankruptcy allows filers to reorganize debts and assets while maintaining operations.
- Chapter 13: This type of bankruptcy lets filers propose a repayment plan and retain assets. It is suitable for those with a viable source of income but who need assistance managing debt.
Determining If You Are a Bankruptcy Candidate
Candidacy for Chapter 7, 11, and 13 bankruptcy typically depends on the following:
Chapter 7 Eligibility
Eligibility for Chapter 7 bankruptcy is largely based on your income compared to the state median income. Passing California’s means test, which assesses income, expenses, and debts, is crucial for qualifying for Chapter 7.
Also, if you have few assets or assets that are mostly exempt from liquidation, you may be a good candidate for Chapter 7 bankruptcy. Exempt assets can include primary residences, cars, and essential personal property.
Chapter 11 Eligibility
Chapter 11 bankruptcy is typically suitable if you believe your business can navigate financial challenges, implement operational improvements, and emerge from bankruptcy with a more viable business model.
Chapter 13 Eligibility
Chapter 13 bankruptcy does not limit eligibility based on income. However, you cannot file for this type of bankruptcy if you have debts that exceed $2,750,000. Filing for Chapter 13 is generally an option if you can afford to repay portions of debt over time and want to protect valuable assets.
The Benefits Associated with Filing for Bankruptcy
Ultimately, bankruptcy can offer you or your business a fresh start, free from overwhelming debt and with a clear path toward a more financially stable and secure future.
Other key benefits include:
- Debt discharge: Depending on the type of bankruptcy filed, certain debts may be partially discharged or completely eliminated.
- Automatic stay: After filing for bankruptcy, an automatic stay goes into effect, protecting you from collection calls, lawsuits, wage garnishments, and foreclosure.
- Asset protection: Bankruptcy laws allow you to exempt several assets from being liquidated to repay debts.
- Creditor negotiation: Bankruptcy provides a structured framework for negotiating with creditors to reach mutually beneficial agreements.
- Credit rebuilding: Although bankruptcy initially impacts credit scores, it also offers an opportunity to start rebuilding credit. By managing finances responsibly post-bankruptcy, you can improve your creditworthiness.
Creditor Harassment & Your Rights
Whether you have begun filing for bankruptcy or not, it is illegal for creditors to harass you.
Acts that are considered “harassment” include but are not limited to:
- Abusive language
- Threats
- Excessive phone calls
- Misrepresenting information about debts and repayment
- Threatening legal action beyond what is allowed
If you have been subjected to creditor harassment, contact our firm for protection. We can work to hold creditors accountable and preserve your rights.
Get Relief with the Help of Compass Bankruptcy Law Group
Are you considering filing for bankruptcy? Have you been illegally harassed by creditors or debt collectors? Trust our experienced Bay Area bankruptcy law firm with your case. Learn more about your legal options and how we can help in a free consultation. All it takes to schedule yours is a phone call or send a message online.
You can reach us at (888) 850-0624. From our Benicia office, we serve the Bay Area and North Bay Area.
