Chapter 13 · Beverly Hills

Chapter 13 Bankruptcy in Beverly Hills to Keep Your Home and Car

Chapter 13 bankruptcy in Beverly Hills lets you stop a foreclosure or repossession and pay what you are behind over 3 to 5 years. If you have a sale date or your income is too high for Chapter 7, call (310) 362-9071 today for a free consultation in our office or by video.

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Also called a wage earner's plan or reorganization
A court-approved plan of 3 to 5 years
Stops foreclosure and repossession
Payment based on your income, not your total debt
Free consultation in person or by video

Signs Chapter 13 is the better choice

Chapter 13 is for people with regular income who need time, not a clean slate overnight. It protects property while you catch up.

You are behind on your mortgage and want to keep the house
Your lender has scheduled a trustee's sale
Your household income is above the California median, so Chapter 7 is not available
You have home equity or other property that Chapter 7 could put at risk
You owe recent taxes or support that Chapter 7 will not wipe out
You have a second mortgage on a home worth less than the first loan

How we build and file your Chapter 13 plan

Free consultation. We look at your income, expenses, missed payments, property and any sale date.
Plan design. We work out a monthly plan payment that covers what the law requires and that you can afford. We use your lender's own numbers for the amount you are behind.
Filing. After a short online credit counseling course, we file your case and plan. The automatic stay stops the foreclosure or repossession right away.
341 meeting. About a month after filing, you meet with the Chapter 13 trustee. We prepare you and attend with you.
Confirmation. The court reviews the plan at a confirmation hearing. We answer any trustee or creditor objections.
Plan payments and discharge. You pay the trustee each month and keep up your regular mortgage payment. When the plan ends, qualifying debts that remain are discharged.

What Chapter 13 costs

Chapter 13 takes more work than Chapter 7 because we stay with your case for 3 to 5 years. You get our fee in writing at the free consultation. In many Chapter 13 cases, part of the attorney fee can be paid through the plan instead of up front.

Your plan payment depends on your income, your necessary expenses, how far behind you are on secured debts, any priority debts such as recent taxes, and the value of property you keep.

How long Chapter 13 takes

A Chapter 13 plan lasts 3 years if your income is below the California median for your household, and up to 5 years if it is above. Collection stops the day we file. The confirmation hearing usually comes a few months after filing.

Chapter 13 in the Central District of California

Chapter 13 cases from Beverly Hills and most of Los Angeles County are filed in the Los Angeles Division of the U.S. Bankruptcy Court, Central District of California, at 255 East Temple Street. A standing Chapter 13 trustee for the Los Angeles Division collects your plan payments and pays your creditors. The court has its own local forms and rules for Chapter 13 plans, which we follow.

Chapter 13 also gives homeowners tools Chapter 7 does not. You can cure mortgage arrears through a plan, and in some cases you can strip off a second mortgage that is fully underwater.

Mistakes that sink Chapter 13 plans

Waiting until the night before the sale. Rushed filings leave less room to plan. Call when you get the notice of default.
Building a plan you cannot afford. A plan that is too tight often fails within a year. We build in a real budget.
Missing regular mortgage payments. You must keep paying your normal mortgage on top of the plan. Missing them can bring back the foreclosure.
Not filing tax returns. Recent returns must be filed for the plan to be confirmed.
Ignoring a change in income. If you lose a job or get a raise, tell us. The plan can sometimes be changed, or the case converted to Chapter 7.

Homeowners in Chapter 13 often use a mortgage arrears cure plan and second mortgage lien stripping in Chapter 13. If your income qualifies and you do not need to save a home, compare Chapter 7 bankruptcy in Beverly Hills.

Chapter 13 questions

Will Chapter 13 stop my foreclosure sale?

Yes, filing Chapter 13 before the sale stops a foreclosure through the automatic stay. You then repay the missed payments through your plan while keeping up your regular mortgage. If you had a case dismissed in the past year, tell us right away, because the protection may be shorter.

How is my Chapter 13 payment calculated?

Your Chapter 13 payment is based on your income and necessary expenses, the amount you are behind on secured loans, priority debts like recent taxes, and the value of property you keep. It is not based on the total you owe. We show you the math before filing.

Do I have to pay back all my credit card debt in Chapter 13?

No, most people do not repay all their credit card debt in Chapter 13. Unsecured creditors often receive only part of what they are owed, and the rest is discharged when the plan ends. The amount depends on your income and property.

What happens if I miss a plan payment?

If you miss a Chapter 13 plan payment, call us right away. One missed payment can often be fixed, and a plan can sometimes be changed after a job loss. Repeated missed payments can lead the trustee to ask the court to dismiss the case.

Can I keep my car in Chapter 13?

Yes, you can usually keep your car in Chapter 13, even if you are behind. Missed car payments can be repaid through the plan. For some older car loans, the plan can lower the amount you pay to the value of the car.

Free consultation

See if a Chapter 13 plan can save your home

Call (310) 362-9071 or send the form. If you have a sale date, tell us the date so we can plan the filing around it.

Law Offices of John Asuncion
9454 Wilshire Blvd., Penthouse Floor
Beverly Hills, CA 90212
(310) 362-9071
Monday to Friday, 9 a.m. to 6 p.m.

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