Irvine Bankruptcy Attorneys
Providing Effective Solutions Across Orange County & Southern California
The decision to file for bankruptcy is not an emotional or moral decision—it
is based on the amount of your debt and your ability to repay over time.
Struggling with the burden of debt and just hanging on by making minimum
payments will benefit only your creditors. Many have referred to this
scenario as "debt slavery," where, despite significant payments
made each month, the balances never go down because of high interest rates.
But this cycle can be broken. Our Irvine bankruptcy lawyers at
McFarlin LLP have guided thousands of clients through the insolvency process. Whether
you have developed debt from credit cards, student loans, medical bills,
late mortgage payments, or taxes, we can give you the insight you need
to make the best decision for your circumstances.
We offer a range of bankruptcy services, including:
Call us at
(949) 570-5025 for a
free consultation to determine whether bankruptcy is right for you.
What Is Bankruptcy?
Bankruptcy is based in consumer protection laws. It is a federal process,
which allows you to have your qualifying debts forgiven.
California's insolvency laws are based on forgiveness rather than punishment.
The law recognizes that bad things can happen to good people, and sometimes
you simply do not have the ability to comply with your creditor's repayment demands.
This law does not seek to deter or regulate certain behavior, as other
laws do. It simply recognizes that circumstances beyond your control can
only be addressed through the cancellation of debts.
Understanding the Different Chapters of Bankruptcy
Bankruptcy is not a one-size-fits-all remedy and may not be appropriate
for everyone. Several types (i.e. chapters) of bankruptcy may apply to
your financial situation. One of our experienced attorneys at McFarlin
LLP can help you understand the options available to you and can assist
you through the bankruptcy process.
Depending on your income, assets, and amount of debt, you may qualify for
one of the following:
-
Chapter 7 – This is, by far, the most common type of bankruptcy to file. While
it is commonly referred to as liquidation bankruptcy, many Chapter 7 cases
discharge all qualifying debts without taking assets from the consumer
. This is generally referred to as a “no asset” case. There
is no repayment plan in Chapter 7.
-
Chapter 13 – This allows for the reorganization and orderly repayment of debts
over time. This procedure, also called the wage earner’s plan, is
designed for those with regular income, and it typically lasts for either
3 or 5 years. In Chapter 13, the debtor typically retains all personal
property and assets.
It is important to note that each type of bankruptcy has a number of requirements
and intricacies. As such, consulting with a lawyer who is experienced
in financial insolvency law is strongly advised.
