Debt Negotiation

familyWhat should you do if you cannot file bankruptcy?

Do you have a substantial credit card, medical, or other unsecured debt that you can’t afford to pay, but also have substantial assets, such as equity in your house, that may prevent you from filing bankruptcy?

Or do you have a high enough income that bankruptcy would not be right for you?

If so, we can help with our debt reduction negotiation program!

You can protect (exempt) a certain amount of assets in bankruptcy, but if your assets are more than you can protect, bankruptcy may not be for you.

In chapter 7 bankruptcy, the trustee may take any asset that is not fully protected and sell it to pay your debts.  Also, if you make too much money, you may not file chapter 7 bankruptcy.

In chapter 13 bankruptcy, you must make monthly plan payments (usually for five years) to pay all of your secured debts (mortgage arrears, car payments, etc.), priority debts (taxes, child and spousal support arrears, etc.), plus all of your general unsecured debts (credit cards, doctor and medical bills, etc.) up to as much equity as you cannot protect.  Also, if your make enough money that you show a lot of disposable income, that disposable income must be used to pay your unsecured creditors.

In these cases, bankruptcy might not be right for you.

In debt reduction or negotiation, we can negotiate to greatly reduce your substantial debt (usually if at least $10,000) with the creditor.

You would not lose any property to a chapter 7 trustee, nor would you be forced to make high payments in a chapter 13 plan as described above.

If you have too much equity or income to file bankruptcy but need to reduce a large debt, debt reduction is probably the best solution for you.

To learn more about how we can help you, please contact our Oakland office today to schedule a free consultation with our knowledgeable attorney Jeff D. Hoffman.

Contact us online or by phone at 510-451-0290 to schedule an appointment. The consultation is free and without obligation.

We serve the entire San Francisco Bay Area, including Alameda, Contra Costa, San Francisco, San Mateo, Marin, Santa Clara, Sonoma, Napa, Lake and Mendocino counties.