Chino Hills Chapter 13 Bankruptcy Lawyer
Wadhwani & Shanfeld is a consumer bankruptcy and debt relief law firm that helps Chino Hills homeowners, commuters, and working families keep their houses and cars while they get their debts under control, and it serves clients throughout San Bernardino County, Los Angeles County, Orange County, and Riverside County. For a lot of people in this part of the Inland Empire, the real question is not whether they can wipe out a credit card balance. It is how to stay in the home they bought while they fall behind on the mortgage, with a sale date approaching.
That is the situation a Chino Hills Chapter 13 bankruptcy lawyer spends most of the time on. Chapter 13 is a repayment plan, not a liquidation. You propose to pay what you can afford over three to five years, the court confirms the plan, and creditors are bound by it. Meanwhile the automatic stay stops collection the moment the case is filed, including foreclosure, repossession, wage garnishment, and creditor lawsuits.
The choice you face is usually not “bankruptcy or no bankruptcy.” It is Chapter 13 versus Chapter 7, and a bankruptcy filing versus negotiating with creditors outside of court.
Why Chino Hills Homeowners Choose Wadhwani & Shanfeld for Chapter 13
Wadhwani & Shanfeld has helped more than 30,000 individuals and families, and the firm is led by two Board-Certified Specialists in Consumer Bankruptcy through the American Board of Certification. Raj Wadhwani and Greg Shanfeld are the firm’s founding shareholders and partners, and together with their team they bring more than 90 years of combined legal experience to cases across Chino Hills, the Inland Empire, and the rest of Southern California. Clients get direct access to an attorney from the first call, and the firm can act quickly when a garnishment, foreclosure sale, or repossession is only days away.
Those credentials matter in Chapter 13 more than in almost any other filing, because the case lasts years and the plan has to be built correctly on day one. Greg Shanfeld, a University of Southern California law graduate, has handled more than 10,000 bankruptcy cases over three decades. Raj Wadhwani, a Southwestern Law School graduate, 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. The firm files in every division of that court, which matters because your zip code decides where your case is assigned.
The firm also handles the alternatives, including Chapter 7, debt settlement, loan modification, second mortgage settlements, IRS tax debt, and small business debt solutions, so the recommendation is based on what fits your numbers rather than on the only service on offer. Consultations are free, and you can handle everything by phone, email, video, or online chat, or choose a 100% virtual consultation if getting out to meet someone is hard with your work schedule.
Situations That Lead Chino Hills Residents to Chapter 13
- Mortgage Arrears and Foreclosure Notices: A missed-payment spiral after a job loss, reduced hours, or a medical event can lead to a notice of default. Chapter 13 lets you cure the missed payments over the life of the plan while staying current going forward, and it can stop a scheduled trustee sale.
- Income Above the Chapter 7 Means Test: Many two-income households in the Inland Empire earn more than the California median for their household size. Chapter 13 is built for steady earners who do not qualify to wipe out debt under Chapter 7.
- Home Equity Above the Homestead Exemption: California’s homestead exemption is tied to home values and adjusted annually. If your equity exceeds what the exemption protects, Chapter 7 puts the house at risk, while Chapter 13 lets you keep it by paying creditors at least what they would have received in a liquidation.
- Car Loans and Repossession Risk: If you depend on a vehicle for a commute out of Chino Hills, a repossession threat can derail your whole financial picture. Chapter 13 can stop repossession and restructure the payments.
- Back Taxes and Support Arrears: Priority debts like certain income taxes and past-due support generally cannot be erased, but a Chapter 13 plan can spread them into manageable monthly payments without penalties building up.
- Wholly Unsecured Second Mortgages: When your home is worth less than the first mortgage balance, a second mortgage may be eligible to be stripped off in Chapter 13 and treated as unsecured debt.
- Judgments and Garnishments: A creditor who has won a judgment can garnish wages or levy a bank account. Filing stops those collection efforts at once and reorganizes what you owe.
- Prior Bankruptcy Filings: If you filed Chapter 7 recently and cannot file another, Chapter 13 may still be available after a shorter waiting period, depending on the dates.
What to Do When a Foreclosure Sale or Garnishment Is Closing In
The first thing to do is figure out where you are on the timeline, because California foreclosure moves in a set sequence and the deadlines give you more room than most people expect. After a notice of default is recorded, the sale date cannot be set earlier than three months and 20 days out. The notice of sale must be mailed and posted at least 20 days before the sale. You can generally reinstate a missed-payment default until five business days before the sale. Pull every piece of mail from your lender and look for the notice of default and the notice of sale, since the dates printed on them tell you how much time you have.
If wages are being garnished, check your pay stub and the notice from your employer. An ordinary judgment garnishment is capped, and in some cases you can claim part of your earnings as exempt if they are needed to support you and your family. Your employer cannot fire you because wages are garnished for a single judgment. For a bank levy, California automatically protects a baseline amount in your deposit account, though that protection does not cover every kind of debt. Filing bankruptcy, though, halts most garnishments and levies as soon as the case is filed.
If you have been served with a lawsuit, do not ignore it. In a collection suit, an expired statute of limitations is a defense that you generally have to raise in a written answer. Otherwise a court can still enter judgment against you. Debt on a written contract carries a four-year limit, and oral contract debt a two-year limit, and a payment on an already time-barred debt does not revive it. A filed answer buys time and keeps options open, and we can tell you whether to respond, negotiate, or file.
Gather your last two years of tax returns, recent pay stubs, mortgage statements, any foreclosure or lawsuit paperwork, and a list of creditors with balances. Then call. Your zip code, not the name of your city, determines which division of the U.S. Bankruptcy Court for the Central District of California handles your case, and for San Bernardino County residents that is typically the Riverside Division. We confirm the right division before filing so nothing is misdirected.
The most common mistake is waiting until the week of the sale to call. Another is quietly catching up on one creditor while ignoring the rest, which can create problems later. A third is paying a petition preparer to fill out forms. A preparer cannot choose your exemptions or defend you if a trustee objects, and errors can cost you property or your discharge.
How a Chapter 13 Plan Actually Works
You file a petition with schedules of your income, expenses, property, and debts, along with a proposed plan. Payments typically run three to five years, and the length depends partly on your income relative to the California median. Payments go to a trustee, who distributes them to creditors. Many filers have the payment taken directly from their paycheck.
The plan has to meet some basic tests. It must be feasible, meaning your budget can carry it. It must pay priority debts in full. And it must pay unsecured creditors at least as much as they would have received if your non-exempt assets had been liquidated in a Chapter 7. That last test is why exemptions matter so much. California has opted out of the federal exemptions, so you choose between two state systems, one with a larger homestead protection that suits homeowners and another with a flexible wildcard that often suits renters. You must pick one system for the whole case, and you need to have lived in California long enough to use the state’s exemptions. Choosing wrong can leave equity exposed, so we work through both before filing.
Once the plan is confirmed, creditors are bound by its terms. Complete the payments and the remaining qualifying debt is discharged. If life changes midway through, such as a job loss or a pay cut, the plan can often be modified rather than abandoned, which is one reason to stay in contact with your attorney throughout.
Chapter 13 Questions From Chino Hills Filers
Will Chapter 13 stop my foreclosure?
Yes. The automatic stay takes effect the moment the petition is filed and halts the foreclosure process. You then catch up on the missed payments through the plan while keeping current on new ones. If you miss the plan payments, the lender can ask the court for permission to resume.
How long does a Chapter 13 plan last?
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 priority debts and mortgage arrears.
Can I keep my house and car in Chapter 13?
Most filers do. Chapter 13 exists largely so you can keep property while curing arrears. You have to stay current on the ongoing payments and complete the plan.
What debts does Chapter 13 handle that Chapter 7 cannot?
It can spread priority taxes and support arrears into monthly payments, cure mortgage and car loan defaults over time, and in some cases strip a wholly unsecured second mortgage. It also lets people with income above the Chapter 7 limits file.
Will my employer find out?
Not automatically. They may learn if they are a creditor, if a garnishment has to stop, or if plan payments come out of your paycheck. California and federal law bar an employer from firing you solely for filing.
How long does bankruptcy stay on my credit report?
Credit bureaus typically remove a Chapter 13 after 7 years, while a Chapter 7 can remain for up to 10 years. The impact on your score fades well before then, particularly if your score was already low from missed payments.
Can I file Chapter 13 if I filed bankruptcy before?
Often yes, subject to waiting periods. You generally wait 4 years to file Chapter 13 after a Chapter 7, 2 years between Chapter 13 filings, and about 6 years to file Chapter 7 after a Chapter 13, though that last period can be shortened if your plan paid enough to unsecured creditors.
What happens if I cannot finish my plan?
You have options short of losing everything. The plan can sometimes be modified for a change in income, or converted to a Chapter 7 if you qualify. In some situations, a hardship discharge may be possible. Talk to your attorney at the first sign of trouble rather than after payments lapse.
Does a collection lawsuit get paused if I file?
Yes. The automatic stay halts lawsuits, judgments, and enforcement against you. Debts included in your plan are then handled through the bankruptcy rather than in the civil case.
Is a judgment against me permanent?
A California money judgment is generally enforceable for 10 years and can be renewed, though recent changes limit renewal for certain medical and personal debt judgments to a single five-year extension. Bankruptcy can address judgment debts and the liens that come with them, depending on the type of debt and property involved.
Do I need to come to an office to start?
No. The whole process can be handled by phone, email, video, and online chat, and virtual consultations are available. That is helpful if you are commuting long distances or working irregular hours.
Is it worth hiring a lawyer instead of using a filing service?
For Chapter 13 especially, yes. A petition preparer cannot give legal advice, pick your exemptions, or represent you if a trustee or lender objects, and a plan that is not built carefully can fail or cost you property.
Chapter 13 Representation Across Chino Hills and the Surrounding Region
Wadhwani & Shanfeld represents Chino Hills residents and homeowners throughout San Bernardino County, and the firm works with clients across the Inland Empire and the eastern San Gabriel Valley. That includes neighbors in Chino, Montclair, Pomona, Claremont, Glendora, and West Covina, as well as families in Ontario, Rancho Cucamonga, Upland, Fontana, and San Bernardino. Further east, the firm serves Riverside and the Coachella Valley.
The firm’s reach also covers Los Angeles County, including Los Angeles, Long Beach, Torrance, Compton, Inglewood, Lakewood, Gardena, Norwalk, Bellflower, Paramount, Cerritos, Huntington Park, and the San Fernando Valley communities of Sherman Oaks, Van Nuys, Encino, Woodland Hills, Reseda, and Northridge. The firm also serves the Antelope Valley, including Lancaster, Palmdale, and Acton, and Santa Clarita. In Orange County, clients come from Anaheim, Santa Ana, Garden Grove, Fullerton, Buena Park, Huntington Beach, Costa Mesa, Newport Beach, Tustin, and Mission Viejo. Wherever you live, the Chapter 13 questions are the same: can you keep the home, and what will the plan cost each month.
Talk With a Chino Hills Chapter 13 Bankruptcy Attorney Today
If a notice of default, a garnishment, or a creditor lawsuit has you weighing your options, a Chino Hills Chapter 13 bankruptcy attorney at Wadhwani & Shanfeld can review your income, property, and debts with you and tell you plainly whether Chapter 13, Chapter 7, or a settlement outside of court fits best. Call for a free consultation and speak directly with an attorney, or schedule a virtual consultation if that is easier. The sooner you call, the more choices you are likely to have.
