How to File Bankruptcy in Laguna Niguel, California
Need Help Filing for Bankruptcy in Laguna Niguel, California?
If you live in Laguna Niguel, California and are thinking of filing a chapter 7 bankruptcy, this guide may help you regain a fresh start to your new life.
Chapter 7 bankruptcy is the most popular bankruptcy in the US and helps so many people throughout the United States. Although filing chapter 7 Bankruptcy is based on Federal Law, Laguna Niguel residents must also comply with local bankruptcy court rules.
This article will provide a 10 step guide for Laguna Niguel, California residents on how to file for chapter 7 bankruptcy in the Central District of California, Laguna Niguel Division.
Before Filing
Before filing for bankruptcy, you need to take a look at what it means to file for chapter 7 bankruptcy and whether you can obtain the relief or benefit you are seeking. Filing Chapter 7 bankruptcy is for individuals with little or no assets, who do not have the means to pay back their debts.
Chapter 7 is best suited for individuals seeking to eliminate primarily unsecured debts such as credit cards, medical bills, and personal loans. Chapter 13 is recommended if your debts are mostly secured debts such as a mortgage on your home and you want to catch up on your mortgage or if you have a lot of assets that you want to keep.
Filing for a Chapter 7 bankruptcy can have serious consequences including losing your property. You should always consult with a bankruptcy attorney to determine if bankruptcy is right for you, to know under which chapter to file, and what to expect. Bankruptcy is highly technical and it takes many attorneys years to master. Bankruptcy is governed by the Federal Rules of Bankruptcy Procedure, local bankruptcy court rules, and in Laguna Niguel, California it also requires understanding California exemptions laws to protect your property. With Iris Kwon, Esq. you can schedule a free consultation with an Laguna Niguel bankruptcy attorney to discuss your case.
Gather The Required Documents
Before getting to the bankruptcy forms, it’s helpful to have the right documents pulled up. A little organization in the beginning will save you a lot of time in completing the bankruptcy Forms.
Obtain a free copy of your credit report. You can get it for free once per year.
Your Tax Returns for the past 2 years.
All proof of Income from all sources for the last 6 months, such as:
Paystubs from wages
A Social Security Benefits Letter
Unemployment Compensation
Pension records
All Self-Employment income
Alimony and child support payments
Six (6) months of bank account statements from all accounts where your name appears on.
Copies of your vehicle registration for all your vehicles
Retirement/Pension account statements
Mortgage Statements
Real Estate and vehicle valuations or appraisal
List of your household goods and furnishings
Complete a Credit Counseling Course from an approved agency
You must complete a credit counseling course from an approved agency.
You will receive a certificate of completion which you will need to attach to your bankruptcy petition when filing.
If you obtained your certificate more than 180 days ago, your certificate has expired, and you must retake the course.
Make sure the Certificate lists the District of California if applicable.
Complete the Bankruptcy Forms and Local Forms
You will need to complete the bankruptcy forms.
In addition to preparing the Federal bankruptcy forms, you must also comply with the local requirements of the District of California which include:
A creditor matrix listing your creditors’ information in compliance with the District of California.
A legible photocopy of a current government-issued photo identification in compliance with District of California
Although as an individual you can file chapter 7 bankruptcy without an attorney, an experienced Laguna Niguel, California bankruptcy lawyer will know the local rules and requirements, and can help you avoid unnecessary pitfalls, including the possible loss of property.
Prepare Your Filing Fee
The Filing Fee for Chapter 7 petition is $338.
You can pay the fee installments by submitting an application with the Court.
If you are unable to afford the fee and your income is below 150% of the federal poverty guidelines, you may request a fee waiver from the Court.
File The Forms With The Bankruptcy Court
If you are PRO SE or filing without an attorney, you can file the documents in person in any division of the Bankruptcy Court for the District of California. The Bankruptcy Court, Laguna Niguel Division is the nearest to Laguna Niguel, California.
United States Bankruptcy Court, Central District of California, Ronald Reagan Federal Building and U.S. Courthouse 411 West Fourth Street, Laguna Niguel, CA 92701
The filing of bankruptcy can have serious consequences or issues may arise that would be difficult, if not impossible, to resolve without a bankruptcy lawyer.
At Bankruptcy Near Me, LLC law firm we spend the time to review your case, advise you regarding the best course of action, file all necessary bankruptcy paperwork, and attend all hearings. We keep you informed and answer your questions. We’ll send you an email confirmation with the bankruptcy case number along with other important information within minutes of filing the case.
Send The Requested Documents to Your Trustee
If you are living in Laguna Niguel, California when you file your Chapter 7 bankruptcy in the District of California, the clerk will assign your case to the Laguna Niguel Division of the bankruptcy court, and a Trustee serving the Laguna Niguel Division in Laguna Niguel, California will be assigned to your case.
Your Trustee will notify you, usually within 1-2 weeks, what documents you will need to provide at least 7 days prior to your meeting of creditors.
Attend The 341 Meeting Of Creditors
You are required to attend in person the 341 meeting of creditors scheduled in the Notice of Bankruptcy Filing.
Official Form 309A – Notice of Bankruptcy Filing, will contain your Trustee’s name, contact information, and time and place of your 341 Meeting of Creditors.
You must take your valid original ID such as Driver’s License and your original Social Security Card to the meeting. If you cannot find or don’t have your original social security card, you can provide an original W-2. The Trustee will not be able to conduct the meeting without them.
The meeting takes place approximately 30 days after you file. During a typical meeting other debtors will be present and the trustee will give a brief announcement and will begin calling cases one by one. When it’s your turn, the Trustee will verify your ID and Social Security card to make sure it matches the information in your bankruptcy petition.
The Trustee will swear you in and ask you a series of questions relating to your bankruptcy filing and will also provide an opportunity for brief questions from creditors who may be present. It is rare that creditors appear at these meetings. The meeting will be recorded by the Trustee.
The Trustee may request some additional information and reschedule the meeting for a future date if necessary.
The Trustee will analyze your case and determine if you have non-exempt property to liquidate and distribute to your creditors or file a Report of No Distribution.
Complete The Second Course – Financial Management Course
Complete and file a Financial Management Course from an approved agency. This is different and separate from the 1st credit counseling course.
Note: Your bankruptcy case can close without a discharge if you do not submit your course competition with the Court.
Dealing With Secured Debt
If your debt is secured by an asset such as your car, you must indicate your intention in your filings. You can select to surrender the property to the lender, keep the property and reaffirm the debt, or retain the property and redeem it.
A Reaffirmation Agreement will have to be entered and filed with the court if you want to reaffirm the debt. Depending on how the paperwork is completed, you may need to attend a court hearing.
Laguna Niguel, California Chapter 7 Bankruptcy Income Limits –
Passing the Means Test
Individuals filing chapter 7 in Laguna Niguel, California must pass the means test to determine if they have the means to repay debts. Individuals with the means to repay their debts are required to file Chapter 13 bankruptcy instead of Chapter 7. The first part of the means test compares your annualized current income to the median income for a household you size. The chart below will help you quickly make that determination. If you are over, then you will have to satisfy part two of the means test.
State of California Median Household Income 2024
Household Size Annual Income
1 $74,819
2 $96,600
3 $109,458
4 $128,533
5 $138,433
6 $148,333
7 $158,233
8 $168,133
9 $178,033
10 $187,933
Laguna Niguel, California Chapter 7 Attorney Fees and Costs
The average bankruptcy lawyer fee in Laguna Niguel, California is between $2,000 to $3,500. Most Laguna Niguel, California bankruptcy lawyers charge a flat fee and offer payment plans. At Bankruptcy Near Me, LLC law firm, our fees range from $1,200 to $1,800 with affordable payment plans.
Miscellaneous costs include the pre-filing and post-filing bankruptcy instructional courses ranging from $10-$50.
Bankruptcy Court Location for Laguna Niguel, California
The United States Bankruptcy Court for the Central District of California comprises of Orange County, California.
Individuals filing in the District of California and living in Laguna Niguel, California at the time of fling, will be assigned to the Laguna Niguel Division located:
United States Bankruptcy Court
Central District of California
Ronald Reagan Federal Building and U.S. Courthouse
411 West Fourth Street
Laguna Niguel, CA 92701
Division Judges
Honorable Theodor C. Albert, Chief Judge
Honorable Scott C. Clarkson
Honorable Mark D. Houle
Honorable Erithe A. Smith
Need Help Filing for Bankruptcy in Laguna Niguel, California?
If you need help filing for bankruptcy in California, the bankruptcy attorney at Bankruptcy Near Me, LLC law firm is here to help. With more than 9 years of experience in California bankruptcy law, we can answer your questions and guide you when it comes to your financial future. Call us today at (714) 798-2544 or fill out our contact form to get started.
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