Bankruptcy Laws in San Jose
San Jose, California bankruptcy—how recent laws affect Chapter 7, Chapter 11, and Chapter 13 bankruptcy
The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA) created wide-sweeping changes in bankruptcy law in San Jose and across the United States. The changes made legal assistance more necessary than ever before.
Clients looking to avoid denial and delays in the bankruptcy process are wise to consult with a seasoned bankruptcy lawyer. The Law Offices of Gloria A. Florendo provides valuable assistance to clients with San Jose, California bankruptcy, involving Chapter 7, Chapter11, and Chapter 13 bankruptcies.
Understanding San Jose bankruptcy laws
Bankruptcy is a federally regulated area of law, subject to the jurisdiction of federal bankruptcy courts located in local areas that act in accordance with the federal Bankruptcy Code.
The means test
The most notable bankruptcy change affects debtors in higher income brackets who may no longer declare Chapter 7 bankruptcies. Debtors must take a means test that calculates income and compares it with the median income of each state's residents. Debtors whose income calculation is equal to or less than the median income may file Chapter 7 bankruptcy. Monthly calculated income according to the means test that exceeds the median forces debtors to file Chapter 13. Median incomes vary greatly from state to state, with California's current median income averaging $74,801 for a four-person family in 2008 and 2009.
Credit counseling and debtor education course
Debtors must now obtain credit counseling as a pre-requisite for filing bankruptcy that they must complete within 180 days of filing. Before the bankruptcy court discharges debts, the debtor must also complete a debtor education course.
Discuss bankruptcy laws in San Jose with an experienced bankruptcy lawyer
The Law Offices of Gloria A. Florendo can help you with your financial issues and answer your questions about San Jose bankruptcy law. We encourage you to contact us and provide as much information as possible regarding your inquiry. While this contact does not serve to establish an attorney-client relationship, it allows our legal team to begin an assessment of your case.
Call 408-916-3040 or contact us online today to arrange a confidential, no obligation consultation with a skilled bankruptcy attorney in San Jose.
A federally recognized Debt Relief Agency, the Law Offices of Gloria A. Florendo meets federal qualifications, working with individuals and businesses to file for bankruptcy relief under the Federal Bankruptcy Code, which includes Chapter 7, 11, and 13 bankruptcies.