When you file for bankruptcy in San Diego you are immediately granted an automatic stay. This puts an end to:
- Creditor Harassment
- Foreclosure and Garnishment Proceedings
- Vehicle repossession
The automatic stay allows you to focus on rebuilding your financial footing in relative peace.
Chapter 7 Bankruptcy vs Chapter 13 Bankruptcy in San Diego
- Chapter 7 bankruptcy, or liquidation bankruptcy, is a way to get a fresh financial start. With this plan, you will be able to keep most of your personal belongings, while your unsecured debt is discharged. As long as you are current on the payments, you should be able to keep your home and vehicles if that is what you wish to do.
- Chapter 13 bankruptcy is a debt reorganization plan. With this bankruptcy plan, all your unsecured debts are combined into one monthly payment that you make over 3-5 years. After that time, your remaining consumer debts are eliminated. You may even be able to roll past due mortgage and vehicle payments into the repayment amount, freeing up much-needed funds to make future payments.
Bankruptcy and Your Credit Score
Whether you are in San Diego bankruptcy will affect your credit score, but if you are already having trouble making payments, your credit score has most likely already taken a hit. Fortunately, as soon as one year after filing bankruptcy, you may be able to obtain credit, at which time you can begin working to build your score. Often times people end up with better credit after a bankruptcy filing than they had before.
Contacting a Bankruptcy Lawyer
To learn more about bankruptcy and how it will affect you, contact our bankruptcy attorneys by email or call our San Diego office at 619-232-1206 to schedule a free confidential consultation.
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Pursuant to 11 U.S.C. section 528(a)(4) of the bankruptcy code, we are required to state: we are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.