Los Angeles Chapter 20 Bankruptcy Attorneys

Providing Quality Debt Relief Services Throughout Southern California

There is not actually a Chapter 20 bankruptcy in the bankruptcy code. It is a term used to describe filing for Chapter 7 bankruptcy first and then filing for Chapter 13 bankruptcy — 7 + 13 = 20. While Chapter 20 bankruptcies are not as common as they once were, they can still provide significant benefits to people in certain circumstances. If you are considering filing for bankruptcy and have questions, our Chapter 20 bankruptcy lawyers in Los Angeles are here to help. RHM LAW LLP provides experienced bankruptcy counsel for clients throughout the Los Angeles area.

Call us at (213) 344-0043 for a 30-minute risk-free consultation with our Los Angeles chapter 20 bankruptcy attorney. It could be your first step on the road to debt relief.

What is Chapter 20 Bankruptcy?

The aim of a Chapter 20 bankruptcy is to eliminate as much debt as possible in a Chapter 7 bankruptcy and then restructure remaining debt into a manageable payment plan through Chapter 13. You can even remove liens that were not discharged in a prior bankruptcy.

Chapter 20 bankruptcies can provide multiple layers of debt protection, as there are certain types of debt that can only be discharged in a Chapter 13 case.

When to Consider Chapter 20 Bankruptcy?

Understanding when to file for Chapter 20 bankruptcy can significantly impact your financial future. Chapter 7 bankruptcy, the first step in a Chapter 20 strategy, allows individuals to discharge most of their unsecured debts. However, it doesn't offer protection against foreclosure or help with catching up on missed mortgage payments. Once your unsecured debts are wiped out through Chapter 7, filing for Chapter 13 can help you manage and catch up on secured debts. This combination can be especially beneficial for those who need to keep their home or car but couldn't effectively do so through Chapter 7 alone.

You might consider Chapter 20 bankruptcy if:

• You have significant unsecured debt that you need to discharge.
• You are facing foreclosure or repossession and need a manageable repayment plan.
• You do not qualify for Chapter 13 initially due to a high debt load, but after discharging unsecured debts through Chapter 7, Chapter 13 becomes a viable option.
• You need to strip off a second mortgage or junior lien on your home, which is sometimes possible under Chapter 13 after a Chapter 7 discharge.

What are Chapter 20 Bankruptcy Pitfalls

There are impediments to Chapter 20 bankruptcy, mainly due to the time restrictions for subsequent bankruptcy filings. Bankruptcy law requires that you wait four years after completion of a Chapter 7 bankruptcy before filing for a Chapter 13.

There is also a tendency among judges to view Chapter 20 bankruptcies with skepticism. For a judge to allow subsequent bankruptcy filings, he or she may need to be convinced that you are acting in good faith.

Our attorneys have extensive experience handling both Chapter 7 and Chapter 13 bankruptcies and can help you understand if filing for Chapter 20 is right for you.

How Our Chapter 20 Bankruptcy Attorney Can Help You

Here’s how we can assist:

• Evaluate Your Financial Situation: We conduct a thorough analysis of your financial situation to determine if Chapter 20 bankruptcy is the most effective option for you.
• Strategic Planning: We create a strategic plan that considers the timing of your Chapter 7 and Chapter 13 filings to maximize the benefits of each chapter and ensure compliance with the law.
• File Chapter 7 Bankruptcy: We assist you in filing for Chapter 7 bankruptcy, ensuring that all eligible debts are discharged and you receive the maximum relief available under the law.
• Transition to Chapter 13: After your Chapter 7 discharge, we help you seamlessly transition to Chapter 13 bankruptcy, where we work to reorganize your remaining debts, including secured debts such as mortgages.
• Payment Plan Development: We assist in crafting a manageable repayment plan under Chapter 13 that allows you to catch up on missed mortgage payments, car loans, and other secured debts over time.
• Legal Representation: Throughout the entire process, we deliver strong legal representation, protecting your rights and interests during court proceedings and negotiations with creditors.

Contact Our Chapter 20 Bankruptcy Attorney Today

Filing for Chapter 20 bankruptcy is a significant decision requiring experienced legal counsel. At Resnik Hayes Moradi LLP, our Los Angeles Chapter 20 bankruptcy lawyers are committed to helping you find the best path forward. With our guidance, you can navigate the complexities of bankruptcy law and work towards a more secure financial future. Whether you’re facing overwhelming debt, the threat of foreclosure, or the need to restructure your financial obligations, our team is here to support you every step.

To begin with a 30-minute risk-free consultation, contact our firm today to get started with our Los Angeles chapter 20 bankruptcy lawyer. Our offices are open weekdays from 7:00 a.m. to 7:00 p.m., and we serve clients in the Los Angeles area and San Fernando Valley through offices in Encino and Los Angeles.