Paramount Chapter 13 Bankruptcy Lawyer
Paramount homeowners and car owners who are behind on payments have a decision to make before a creditor makes it for them: let the foreclosure clock or the repossession notice run, or reorganize the debt under court protection. Wadhwani & Shanfeld is a consumer bankruptcy and debt relief law firm that handles Chapter 13 and Chapter 7 cases, along with debt settlement, foreclosure defense, wage garnishment, and creditor lawsuits, for clients in Paramount and across Los Angeles County and Southern California. If you are searching for a Paramount Chapter 13 bankruptcy lawyer, you can call and speak with an attorney directly on the first call.
Chapter 13 is built for people who still have income but have fallen behind. Instead of wiping debts out, it gathers them into a single court-approved payment plan lasting three to five years. Once the judge confirms the plan, creditors are bound by it. Missed mortgage payments get spread over the plan rather than demanded in one lump. A car loan in arrears can be caught up. Tax and support debts that Chapter 7 cannot touch get paid on a schedule you can afford.
The moment your petition is filed, the automatic stay goes into effect. Foreclosure proceedings, lawsuits, bank levies, wage garnishments, and repossessions have to stop. For many Paramount families, that pause is what makes everything else possible.
How a Chapter 13 Case Unfolds From Filing to Discharge
Knowing the sequence takes away much of the fear. Here is how these cases typically move.
First comes the consultation. We look at your income, your monthly expenses, what you own, and what you owe. That review tells us whether Chapter 13, Chapter 7, or a solution outside of court fits best. Sometimes it is not bankruptcy at all, and we will say so.
Next is preparation and filing. We gather pay records, tax returns, mortgage and loan statements, and a list of every creditor. Because Paramount sits in Los Angeles County, your case is filed in the U.S. Bankruptcy Court for the Central District of California. The court assigns a division by the zip code of your home address, so we confirm that with the court’s locator before filing. Our firm files in every division of that court.
After filing, the stay takes hold and you begin making plan payments, usually within about a month. You propose a plan, a trustee reviews it, and you attend a meeting of creditors where the trustee asks questions about your finances. Then the judge decides whether to confirm the plan.
The long middle stretch is the plan itself, three to five years of steady payments. Most of the work in this period is staying current and communicating if your income changes. When the final payment is made and the required steps are completed, the court issues your discharge.
Why Choose Wadhwani & Shanfeld for Chapter 13 in Paramount
Wadhwani & Shanfeld has helped more than 30,000 individuals and families resolve debt, and the firm is led by two Board-Certified Specialists in Consumer Bankruptcy through the American Board of Certification. That certification is held by a small fraction of attorneys nationwide. Together the firm’s lawyers bring more than 90 years of combined legal experience to cases for clients in Paramount, Los Angeles County, Orange County, Riverside County, and San Bernardino County.
Raj Wadhwani, a founding shareholder and partner, is a Southwestern Law School graduate who helped pilot the Best Case Bankruptcy software in 1998 and was the first attorney to file a bankruptcy case electronically in the Central District of California. Greg Shanfeld, also a founding shareholder and partner, earned his law degree from the University of Southern California and has handled more than 10,000 bankruptcy cases over three decades. Both are Board-Certified Specialists in Consumer Bankruptcy.
That depth matters in Chapter 13 because plan cases succeed or fail on details: how your disposable income is calculated, which California exemption system protects your equity, whether a second mortgage can be stripped, and how arrears are scheduled. You get direct access to an attorney from the first call, fast action when a foreclosure sale, garnishment, or repossession is days away, and the option to handle your whole case by phone, email, video, or online chat. Consultations are free, and 100% virtual consultations are available.
Situations That Lead Paramount Residents to File Chapter 13
- Behind on the Mortgage: A missed-payment stretch after a job loss or reduced hours can lead to a notice of default. Chapter 13 lets you catch up the arrears over the life of the plan while keeping the home, as long as you stay current going forward.
- Foreclosure Sale Approaching: California’s process sets the earliest sale date at three months and 20 days after a notice of default is recorded, and the notice of sale must be mailed and posted at least 20 days before the sale. Filing before the sale stops it.
- Income Above the Chapter 7 Means Test: If your household earns too much to qualify for Chapter 7, Chapter 13 gives you a lawful route to relief built around what you can actually pay.
- Car Loan in Default or Repossession Threat: Chapter 13 can halt a repossession and fold missed car payments into your plan so you keep your transportation to work.
- Tax Debt and Support Arrears: Priority tax debt and past-due support generally survive Chapter 7. A plan lets you pay them off over time, free from collection pressure in the meantime.
- Second Mortgage With No Equity Behind It: When your home is worth less than your first mortgage balance, a wholly unsecured second mortgage can in some cases be stripped off through the plan.
- Home Equity Beyond Exemptions: If you own more equity than California’s exemptions cover, Chapter 13 lets you keep the property while paying creditors a share of what a liquidation would have produced.
- Wage Garnishment From a Judgment: Garnishment takes a slice of every paycheck. Filing stops it and puts the judgment debt inside a structured plan.
What to Do Right Now If You Are Considering Chapter 13
Start by pulling out every piece of paper tied to the pressure you are under: the notice of default or notice of sale, any repossession letter, lawsuit papers, garnishment orders, and recent statements from every creditor. Dates on those documents drive the timeline. Do not throw anything away.
Pay attention to deadlines, because they decide which tools are still available. A homeowner can reinstate a missed mortgage default until five business days before the sale date. Once the sale is that close, a bankruptcy filing is often the only way to stop it. If your car has been repossessed, the lender must send at least 15 days’ written notice before selling it, and you can ask in writing to extend your redemption period by 10 days. If you have been served with a lawsuit, you have a limited window to respond, and missing it can lead to a default judgment and then a garnishment.
Do not make large payments to one creditor, move money into a relative’s account, or sell property on the eve of filing. Those moves can be undone by the trustee and can create problems in your case. Do not rely on a paralegal or form-filling service to prepare a Chapter 13. A petition preparer cannot give legal advice, pick your exemptions, or stand up for you if a creditor or trustee objects, and mistakes can cost you property or your discharge.
Then call. Our attorneys will review your numbers, tell you whether Chapter 13 is the right fit, and explain what filing would stop and what it would not. If an emergency filing is needed to halt a sale or levy, we can move quickly.
Exemptions and the Property You Can Keep
California has opted out of the federal exemption scheme, so you choose between two state systems for your entire case. One uses the standard California exemptions, including a homestead exemption tied to local home prices that generally suits homeowners with meaningful equity. The other offers a flexible wildcard that often works better for renters or people with little home equity. You must also have lived in California long enough to use the state’s exemptions.
In Chapter 13 exemptions still matter, even though you are not liquidating. The plan has to pay unsecured creditors at least as much as they would have received if your non-exempt property had been sold in a Chapter 7. Choosing the right exemption system shrinks that number and lowers what you pay. It is one of the most consequential decisions in the case, and our board-certified attorneys make it with each client’s property in mind.
Chapter 13 Questions From Paramount Filers
How long does a Chapter 13 plan last?
Plans run three to five years. The length depends largely on your income compared with the California median for your household size and on how much you need to repay on arrears and priority debts.
Will Chapter 13 stop a foreclosure on my Paramount home?
Yes. Filing triggers the automatic stay, which halts the foreclosure. You then catch up the missed payments through the plan while making your regular mortgage payments going forward. If you let the sale date pass, that option is gone, so timing matters.
Can I keep my car in Chapter 13?
Usually, yes. Filing stops a repossession, and missed payments can be handled through the plan. Whether you keep the car depends on staying current on the payments that come due after you file.
What is the difference between Chapter 7 and Chapter 13?
Chapter 7 wipes out qualifying unsecured debt in roughly four months and is limited by the means test. Chapter 13 reorganizes debt into a three-to-five-year plan, suits people with steady income, and lets you keep property you would otherwise risk losing.
Do I have to pay back everything I owe in Chapter 13?
No. You pay what your plan requires based on your disposable income, your non-exempt property, and the debts that must be paid in full, such as certain taxes and support arrears. Many unsecured creditors receive only a portion of what they are owed.
Will my employer find out I filed?
Not automatically. They might learn of it if they are a creditor, if a garnishment has to stop, or if plan payments are taken from your paycheck. An employer cannot lawfully fire you solely because you filed.
What happens if I miss a plan payment?
One missed payment will not necessarily end your case, but the trustee can ask the court to dismiss it if you fall behind. If your income drops or an emergency hits, contact us right away so we can look at modifying the plan before it becomes a dismissal issue.
Can a Chapter 13 get rid of a judgment lien or stop a bank levy?
The automatic stay halts bank levies and garnishments the day you file. Judgments are then dealt with in the plan, and in some situations a judgment lien that impairs your exemption can be addressed. Judgments are generally enforceable for 10 years and can be renewed, so older judgments still matter.
Can I file Chapter 13 if I recently went through a Chapter 7?
Often, yes, subject to waiting periods. You generally must wait 4 years to file Chapter 13 after a Chapter 7, and two years between Chapter 13 filings. The rules differ by combination, so we confirm your dates before filing.
Is a written statute of limitations a defense if a collector sues me on an old debt?
It can be. In California, suits on written contracts and book accounts generally must be filed within four years, and oral contracts within two. But the defense has to be raised in a written answer, or the court can still enter judgment against you. A payment cannot revive a debt that is already time-barred.
Do I need to come to an office for Chapter 13?
No. We handle cases fully by phone, email, video, and online chat for clients anywhere in Southern California, and you can ask to meet in person if you prefer.
Chapter 13 Representation Across Paramount and Southern California
Wadhwani & Shanfeld represents Chapter 13 clients in Paramount and the surrounding Los Angeles County communities, including Bellflower, Compton, Lakewood, Long Beach, Norwalk, Gardena, Cerritos, Signal Hill, Huntington Park, and Torrance. We also serve Inglewood, Los Angeles, and the San Fernando Valley neighborhoods of Sherman Oaks, Van Nuys, Encino, Woodland Hills, Reseda, Northridge, Granada Hills, North Hollywood, North Hills, Mission Hills, San Fernando, and Sylmar, along with Hollywood, Santa Monica, and the Westside.
Beyond Los Angeles County, the firm works with clients in Santa Clarita, Lancaster, Palmdale, Acton, and the Antelope Valley. In Orange County we serve Anaheim, Santa Ana, Garden Grove, Buena Park, Fullerton, Huntington Beach, Westminster, Costa Mesa, Newport Beach, Tustin, La Habra, Placentia, Mission Viejo, Laguna Niguel, and Cypress. In the Inland Empire and eastern San Gabriel Valley, we help families in Ontario, Rancho Cucamonga, Upland, Fontana, San Bernardino, Riverside, Pomona, Chino, Chino Hills, Montclair, Claremont, Glendora, West Covina, and the Coachella Valley.
Talk With a Paramount Chapter 13 Bankruptcy Attorney Today
If you are weighing a Chapter 13 filing, a Paramount Chapter 13 bankruptcy attorney at Wadhwani & Shanfeld can look at your income, your home, your car, and your debts and tell you plainly whether a repayment plan is the right move. Call for a free consultation and speak directly with an attorney, or arrange a virtual meeting that fits your schedule. If a sale date, garnishment, or repossession is close, tell us at the start so we can act on it first.
