Santa Ana Bankruptcy Attorney
Serving Clients in Orange County & Greater California Who Are Struggling with Debt
When it comes to filing for bankruptcy, it is not the solution it used to be. The law changed in 2005 and in net effect, fewer people qualify now for bankruptcy than before. Taxes, student loans, and judgment liens are most times still there after you complete the bankruptcy process. That said, it is still, by far, the most effective debt relief tool available to many people who are struggling with debt.
A day in the life of a team member at Fitzgerald & Campbell is not easy—but we wouldn’t trade it for the world. We are proud to defend people across California from creditors, debt collectors, banks, and even debt settlement companies that would exploit them. We are your California debt protectors.
Large medical bills, especially when combined with a loss of employment, can create a nearly impossible financial hole to climb out of. Filing for bankruptcy can help reduce or even wipe away your medical bills and can also stop harassing creditors from turning up on your doorstep, especially if they are being unfairly pushy or are fraudulently attempting to take more than you owe.
Although your student loans will generally not disappear, bankruptcy can help you to reduce the amounts owed so you can pay them off in a reasonable time frame. If you are currently facing financial issues, then bankruptcy might be the best and most logical way to get a fresh start and take control of your future.
Contact Fitzgerald & Campbell today at (844) 431-3851 for a free consultation, and let us help you navigate your financial recovery with the support of a bankruptcy lawyer in Santa Ana offers. Call now!
Real Client Results
Conquering Your Mountain of Debt Since 1992
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$1,043,087.06 settled for $492,701.56 Individual
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Client Saved $27,433.00! UGH, I LLC.
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$535,175.56 was settled for $375,000.00 Madison 65 Co
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Client’s debt was reduced by $314,811.00! National Continental Insurance Company
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$263,963.17 JUDGMENT VACATED! Los Angeles County Superior Court
Understanding the Bankruptcy Process: A Step-by-Step Guide
Navigating the complexities of bankruptcy can be overwhelming, but having a clear understanding of the process can empower you to make informed decisions. At Fitzgerald & Campbell, we believe in equipping our clients with the knowledge they need to feel confident every step of the way. Here’s a simplified breakdown of what to expect when filing for bankruptcy:
- Initial Consultation: Begin with a free consultation where we assess your financial situation and discuss your options.
- Gathering Documentation: Compile necessary documents, including income statements, debts, and assets, to prepare for filing.
- Filing the Petition: Our experienced attorneys will help you file the bankruptcy petition with the court, ensuring all information is accurate.
- Automatic Stay: Once filed, an automatic stay is enacted, halting most collection efforts and providing you relief from creditor harassment.
- 341 Meeting of Creditors: Attend a meeting where creditors can ask questions about your financial situation, typically held a few weeks after filing.
- Debt Discharge: If you qualify, your eligible debts will be discharged, giving you a fresh financial start.
- Post-Bankruptcy Guidance: We provide ongoing support and resources to help you rebuild your credit and financial health after bankruptcy.
Understanding each stage of the bankruptcy process can alleviate anxiety and help you feel more in control. Our dedicated team at Fitzgerald & Campbell is here to guide you through every step, ensuring you have the support and guidance needed. Reach out today to learn more about how we can assist you on your path to financial freedom.
What Is the Bankruptcy Act of 2005?
The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 went into effect on October 17, 2005, and provides the most significant (and controversial) overhaul of the bankruptcy system in over 25 years.
Backed by the credit card, retail, and banking industries, the new legislation makes it more difficult for people to erase all of their debts in bankruptcy while forcing others on payment plans instead.
What Is the Means Test?
The biggest impact of the 2005 law change was the “Means Test”. This test determines if debtors “qualify” for bankruptcy. The means test is a fairly complex mathematical formula that has been created, taking into consideration where you live and the costs related to your income to determine what your “Means” are. If you are above a certain level of "Means," it is "presumed" that you do not qualify for bankruptcy. If you are below that number, you are presumed to qualify.
As of 11/1/23, the maximum gross annual income limits to automatically qualify for Chapter 7 bankruptcy in California are:
- One Earner: $71,861
- Two People: $92,781
- Three People: $105,130
- Four People: $123,451
Chapter 7 & Chapter 13 Bankruptcy
If you qualify and have no assets (of significant value), a Chapter 7 bankruptcy is a very effective (some debts wiped out entirely), relatively quick (3-4 months average), and financially painless process.
Chapter 7 is often referred to as a “No Asset” situation and is not terribly complex, although each one is different. The only real expense is attorney fees and court costs, so it is generally far less expensive than other alternatives.
Chapter 7 is often referred to as a “No Asset” situation and is not terribly complex, although each is different. The only real expense is attorney fees and court costs, so it is generally far less expensive than other options.
A major hurdle for homeowners and other secured debts like autos is that their debts are not going to be forgiven unless they are willing to give up the house or car too. If you want to keep property attached to secured debt, generally you must pay for them.
You can seek bankruptcy protection, which is why many homeowners file a Chapter 13. In a Chapter 13 bankruptcy, a “Plan” is filed, argued, and so ordered by the judge. This Plan lays out what you are going to pay and to whom. They usually last for 3-5 years.
What Are the Benefits of Filing for Bankruptcy?
Filing a bankruptcy petition can be beneficial in a wide range of circumstances, including:
- If you are at risk of a foreclosure on your home, declaring bankruptcy can stop this action from going forward and even establish a payment structure that will help you pay off your arrears.
- Bankruptcy might allow you to take back an automobile that has been repossessed by a creditor.
- Bankruptcy might allow you to take back an automobile that has been repossessed by a creditor.
- Large medical bills, especially when combined with a loss of employment can create a nearly impossible financial hole to climb out of. Bankruptcy can help reduce or even wipe away your medical bills.
- If your utilities have been shut off, bankruptcy will help restore services, so you do not have to live in darkness.
- Bankruptcy can end wage garnishment, which means you will be able to afford life’s necessities.
How Can A Bankruptcy Attorney In Santa Ana Help Me?
Are you struggling with debt? A bankruptcy attorney can be very beneficial. Although our lawyers have worked with numerous clients facing similar struggles, we understand that each situation is unique, and we ensure each client's case gets the individual attention it needs.
A bankruptcy attorney can assist you in several ways:
- Providing you with important legal advice
- Ensuring that you are aware of all of the options available to you
- Helping to protect your rights
- Offering emotional support
- Preventing you from making potentially costly mistakes
- Negotiating with creditors on your behalf
- Helping you to rebuild your credit and achieve financial freedom
Contact our law firm today to schedule a free consultation with our bankruptcy attorneys in Santa Ana and learn more about what we can do to help you be debt-free and successfully rebuild your credit.
How to Avoid Common Bankruptcy Mistakes
Here are some common missteps to avoid:
Failing to Understand Your Bankruptcy Options
One of individuals' biggest mistakes is not fully understanding the differences between Chapter 7 and Chapter 13 bankruptcy. Each type has specific requirements and benefits, so it is important to choose the one that best aligns with your financial situation. We can help you evaluate your debts, income, and long-term goals to determine which type of bankruptcy will benefit you most.
Hiding Assets or Income
Some individuals could be tempted to hide assets or underreport their income when filing for bankruptcy. This can be a serious mistake, as bankruptcy filings are subject to investigation, and hiding assets could lead to fraud charges. Full transparency is essential to a smooth bankruptcy process.
Waiting Too Long to File
Delaying the decision to file for bankruptcy can worsen your financial situation. If you wait too long, your debts may become unmanageable, and creditors may act aggressively, like garnishing wages or initiating foreclosure proceedings. Filing sooner can help stop collection activities and allow you to address your financial challenges before they escalate.
Not Considering Alternative Solutions
Bankruptcy is a powerful tool for debt relief, but it's not the only option. Depending on your situation, alternative solutions such as debt consolidation, credit counseling, or negotiating directly with creditors may exist. We can help you assess whether bankruptcy is the best course of action or if other options may be more beneficial in your case.
Ignoring Tax Implications
Some types of debt, such as certain tax debts, are not dischargeable through bankruptcy. Understanding which debts will be wiped out and which may remain after your bankruptcy case is closed is important. Ignoring the potential tax consequences can lead to unexpected financial problems after filing. We can help you understand how tax laws impact bankruptcy and whether you should take steps to address tax issues separately.
Failing to Keep up with Post-Bankruptcy Requirements
After your bankruptcy case is complete, it is essential to follow any requirements set forth by the court. This may include making timely payments under a Chapter 13 repayment plan or following up with credit counseling sessions. Failing to comply with these post-bankruptcy obligations can result in your case being dismissed or your debts being reinstated.
Why Hire Fitzgerald & Campbell?
Despite a time when clients are at their lowest, we, at Fitzgerald & Campbell, work hard to ensure that their experience with us is positive. Technology helps us improve response times and case efficiency.
We aim to provide our clients with the highest level of integrity, professionalism, and respect. That is why we empower our staff of legal professionals and bankruptcy attorneys in Santa Ana, CA with the knowledge, authority, and ability to provide our clients an unequaled experience in the pursuit of their unique legal needs.
Call (844) 431-3851 or fill out our online form to set up a free case consultation today to get started with our Santa Ana bankruptcy attorney.
Suggested Reading:
- Is COVID-Induced Debt Driving You to Bankruptcy?
- Medical Debt Continues to Force Americans into Bankruptcy
Helpful Resources
Please don’t hesitate to contact Fitzgerald & Campbell so we can discuss how filing for bankruptcy can impact your individual situation. Call (844) 431-3851 or fill out our online form to set up a free case consultation today.
Hear From Our Happy Clients
At Fitzgerald & Campbell, your satisfaction is our priority! See for yourself what our clients have to say about working with us.
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"Great help from the start!"Fitzgerald & Campbell were a great help from the start. Seeking their legal help for dealing with debt collectors was the right decision. The process was simple and straightforward, reducing my stress greatly for a reasonable price. Highly recommend!- C.M.
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"Clarity and prompt communication."We were involved in a tricky sister-state judgment case from a vehicle accident in Nevada. Several attorneys were stumped, but Fitzgerald & Campbell provided clarity and prompt communication to vacate the judgment. The case is now dismissed without prejudice. Highly recommended.- E.C.
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"Fitzgerald & Campbell is Truly Praiseworthy"
I was in a difficult and stressful situation. I was sued and served over an old personal loan.
Fitzgerald & Campbell helped me to settle and lowered the judgment amount in less than a month.
This firm is outstanding and they care about their clients.
Thank you, Ms. Patricia Mendez for being so passionate and so helpful about my case.
Now, am stress free.
Fitzgerald & Campbell is a truly praiseworthy and highly recommended firm.
Thank you.- E.A. -
"You Are All Amazing"
Thank you very much, Ma'am for the immediate help.
You are all amazing!🙏🙏🙏
- E.A. -
"Friendly hand to get you out."Dealing with a judgment and wage garnishment, Fitzgerald & Campbell explained my options to settle and guided me through the paperwork. They handled all communication with the creditor, negotiating a settlement I could afford. They extend a friendly hand to get you back on your feet.- S.J.
