Filing for individual or corporate bankruptcy is one of the most difficult decisions that anyone will face. Bankruptcy may or may not be the right choice for you, and the attorneys at the Curtis Legal Group have experience in helping people decide the best course of action for them. Curtis Legal Group is a debt relief agency.

This is especially true under the new bankruptcy laws, which have made filing bankruptcy considerably more complicated.

Despite what you may have heard, you still do have the right to file for bankruptcy. Federal law will, with some restrictions, allow you to start your financial life anew.

The law divides bankruptcy into various chapters, depending on your status: Chapter 7 liquidation or Chapter 13 reorganization for most individuals and Chapter 11 for most businesses and some high-income individuals.

Your initial consultation with our attorneys will help you to make this important decision. You will start with an interview with our bankruptcy law staff. In that interview, our team will consider many factors beyond just the financial. Since this kind of decision affects your entire life, and may for years afterward, it is a process that requires the most careful consideration. And remember that you are a part of the team that will make these decisions and carry forward with them.

Discharging Your Debts

If the decision is made to file for bankruptcy protection, we will work with you to fill out and sign several forms detailing your financial information for the bankruptcy court. After those forms are filed with the court, you will generally need to attend one hearing in front of a Bankruptcy Trustee. In many cases, that will be the only appearance that you will need to make, and, after a period of time, the court will usually discharge or reorganize your debts.

Frequently, you can also pay back some of your debt if you want to, in order to keep a piece of property, perhaps, or a credit card. Some specific debts, such as student loans, some taxes, child support, and some other court-ordered obligations, will not be dischargeable under bankruptcy law.

Keeping Your Property.

Under both California law and Federal bankruptcy law, you can protect your real and personal property up to certain limits of value. California gives you a choice of two different sets of laws to protect, or exempt, various kinds of property. You have to choose one set or the other, and only a qualified and experienced bankruptcy attorney can guide you through this complex set of laws.

What Are The Bankruptcy Chapters?

The most common bankruptcy filings fall under Chapters 7, 11 and 13. A farm bankruptcy comes under Chapter 12, and a municipality under Chapter 9.

Chapter 7: Although the recent changes to the bankruptcy laws make it more difficult to obtain a Chapter 7 discharge, this is still the most common Chapter for individual and family consumers. In a Chapter 7, a debtor's financial obligations will far outweigh the ability to pay them, and the debtor looks to completely get rid of or discharge all debts. In a Chapter 7, most of the debts will be unsecured-- that is, not subject to a repossession. Typical unsecured debts are credit cards, medical bills, or personal debts.

Chapter 7 is only available if you meet certain income guidelines. If you don't meet these guidelines, or if you want to keep some or all of your property, then the next avenue to discuss will be a Chapter 13 reorganization.

Chapter 13: In a Chapter 13 reorganization, you create a plan to repay your debts over time, possibly discharging some, or paying back the debt at a lower rate or for less total money. The plan will always leave you enough money to live on. Most Chapter 13 plans last for three to five years, as you, your legal team, and the bankruptcy court all work together to put your financial life back together.

Chapter 11: Chapter 11 is generally reserved for business bankruptcies, but it can come into play with some high- income individuals. This highly complex Chapter is available for corporations--large or small.

If you are considering bankruptcy, call Curtis Legal Group for a confidential discussion concerning your entire financial situation.