California Bankruptcy Information

Bankruptcy is a legal process whereby you can discharge (wipe out) most of your debts, and start fresh with a clean financial slate. 

The Automatic Stay and Discharge Injunction

Bankruptcy’s two most important powers, the automatic stay and the discharge injunction, work in tandem to protect you from the actions of creditors while your case is pending and then to erase your debts at the conclusion of your case.   Filing your case automatically invokes the automatic stay which immediately:

• Stops harassing phone calls and letters
• Stops creditor lawsuits
• Stops foreclosures and repossessions
• Stops wage garnishments and all other attempts at collection

Once your case concludes, the bankruptcy court has the power to enter a discharge injunction which forever erases your debts that are subject to discharge, including most unsecured debts.  Creditors must then report these discharged debts to the credit bureaus as having a $0 balance.

• Chapter 7 Bankruptcy
• Chapter 13 Bankruptcy
• What are the differences between Chapter 7 and 13?
• What are the benefits of bankruptcy?
• What are the costs of filing bankruptcy?
• Will I lose my property if I file for bankruptcy?
• Does bankruptcy ruin my credit?

If you are experiencing financial difficulties, we encourage you to investigate all options, including bankruptcy.