North Hills Chapter 13 Bankruptcy Lawyer
Chapter 13 cases for people in North Hills are filed in the San Fernando Valley Division of the U.S. Bankruptcy Court for the Central District of California, which is the division assigned to this community. That matters more than it sounds: the division and its trustee practices shape how a repayment plan gets proposed, reviewed, and confirmed. Wadhwani & Shanfeld is a consumer bankruptcy and debt relief law firm that handles Chapter 13 and Chapter 7 filings for North Hills residents and for clients throughout Los Angeles, Orange, Riverside, and San Bernardino Counties.
If you are searching for a North Hills Chapter 13 bankruptcy lawyer, you are probably in one of a few spots: a mortgage is behind and a notice of default has been recorded, a car loan is slipping, a creditor has a judgment and is garnishing your pay, or your income is a little too high to qualify for Chapter 7. Chapter 13 was built for exactly these situations. It lets you keep your property, fold your arrears into a three-to-five-year plan, and pay only what your budget can carry, with the automatic stay stopping collection the moment the case is filed.
What makes Chapter 13 different from every other debt tool is that it works on a timetable. Foreclosure, repossession, and garnishment all run on clocks, and the plan you propose has to fit your real paycheck. The sections below walk through how that works for a North Hills household.
How Chapter 13 Works for North Hills Homeowners and Drivers
In a Chapter 13 case, you propose a plan that pays your priority debts in full, pays your secured arrears over time, and pays unsecured creditors whatever your disposable income and property equity require. Once the court confirms the plan, creditors are bound by it. You make one payment to the trustee, typically through payroll deduction or direct payment, and the trustee distributes it.
The length of the plan, three or five years, depends on your income relative to the California median and on what you owe. Lower-income filers can often choose a shorter plan; higher-income filers generally need the longer one. Either way, the plan has to be feasible, meaning your budget has to show you can actually make the payments, and the trustee will test that.
For homeowners, the core mechanic is curing the mortgage default. Instead of paying a lump-sum reinstatement, you spread the missed payments across the plan while staying current on new ones. For car loans, the plan can sometimes restructure the debt so the monthly cost is lower and the repossession threat ends. Our North Hills Chapter 13 attorneys build the plan around your income and your goals, not a template.
Why Choose Wadhwani & Shanfeld for Chapter 13 Representation
The firm is led by two Board-Certified Specialists in Consumer Bankruptcy through the American Board of Certification, with more than 90 years of combined legal experience. You speak directly with an attorney from your first call, consultations are free, and the entire case can be handled by phone, email, video, and online chat if you prefer not to travel.
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. The firm files in every division of the U.S. Bankruptcy Court for the Central District of California, including the San Fernando Valley Division that covers North Hills.
That depth matters in Chapter 13 specifically, because a plan is only as good as the numbers behind it. Choosing the right exemption system, calculating disposable income correctly, and anticipating a trustee’s objections are the details that decide whether a plan is confirmed or dismissed. When a garnishment, foreclosure sale, or repossession is days away, the firm acts fast to get a petition on file.
Situations That Lead North Hills Residents to Chapter 13
- Mortgage Arrears and Foreclosure: Once a notice of default is recorded, California law sets a sale date no earlier than three months and 20 days later, and you can reinstate by paying the default until five business days before the sale. Chapter 13 lets you cure the arrears over the life of the plan instead of finding the cash at once.
- Car Loans and Repossession: A lender must give written notice before disposing of a repossessed vehicle, and a deficiency claim can follow. Chapter 13 can stop a repossession in progress and reshape the loan so you keep the car you need for work.
- Wage Garnishment: A creditor with a judgment can take a capped share of your disposable earnings. Filing stops most garnishments immediately through the automatic stay, and your employer cannot lawfully fire you because of a garnishment on a single judgment.
- Income Above the Chapter 7 Means Test: Households earning more than the California median for their size often cannot use Chapter 7. Chapter 13 has no such cap, as long as your income can support a plan.
- Back Taxes and Support Arrears: Priority debts like certain tax obligations and past-due support cannot be wiped out in Chapter 7, but a Chapter 13 plan can pay them down over time without penalties piling up.
- Home Equity You Want to Protect: If your equity exceeds what California’s exemptions cover, Chapter 7 could put the home at risk. Chapter 13 lets you keep it, though the plan must pay unsecured creditors at least what they would have received in a liquidation.
- Wholly Unsecured Second Mortgages: When your home is worth less than the first mortgage, a second mortgage may be removed in some cases, turning it into ordinary unsecured debt handled through the plan.
- Judgments and Creditor Lawsuits: A suit or judgment from a collection firm can be addressed inside the case, with the stay halting levies and further enforcement.
What to Do Right Now if You Are Considering Chapter 13
Start by gathering the notices you have received and putting dates on them. A notice of default, a notice of sale, a summons, a garnishment order, or a repossession letter each starts a different clock, and the attorney needs to see them to know how much time you have. Do not ignore a lawsuit: an expired limitations period or a payment dispute is a defense you must raise in a written answer, or the court can still enter judgment against you.
Next, pull together your income records, a list of every debt, and your mortgage and car loan statements. Chapter 13 hinges on a realistic budget, so be honest about your regular expenses. If you have lived in California fewer than 730 days, tell the attorney, because that affects which exemptions you can use. California has opted out of the federal exemptions, and filers choose one of two state systems for the entire case. One favors homeowners with a large homestead protection; the other offers a flexible wildcard that often suits renters. Making that choice correctly is one of the most consequential decisions in the filing.
Your case is assigned by the street address of your residence, not a P.O. box. For North Hills, that means the San Fernando Valley Division in Woodland Hills. You will attend a meeting of creditors, usually handled by the trustee, and later a confirmation hearing where the court reviews your plan. Common mistakes include falling behind on new mortgage payments after filing, missing plan payments, and leaving out debts or assets from the paperwork. Each can lead to dismissal. Call as soon as you can: we speak with you directly, and there is no need to come in first.
North Hills Chapter 13 Bankruptcy Questions
How long does a Chapter 13 plan last?
Plans run three to five years. Your income relative to the California median for your household size largely determines whether three years is available or whether you need five.
Will I keep my house in Chapter 13?
That is the main purpose of the chapter for many filers. As long as you stay current on new mortgage payments and make your plan payments, you keep the home and cure the arrears over time.
Can Chapter 13 stop a foreclosure sale?
Yes. The automatic stay takes effect the moment the petition is filed and halts the sale. The sooner you file relative to the sale date, the more room you have, and we move quickly when a sale is close.
What is the difference between Chapter 7 and Chapter 13?
Chapter 7 erases qualifying unsecured debt, usually in about four months, but requires you to pass the means test. Chapter 13 reorganizes debts into a monthly payment over several years and works for people with steady income who need to catch up on secured debts or protect equity.
Do I need steady income to file Chapter 13?
Yes. The court must be satisfied you can fund the plan. Income does not have to come from a traditional job; it must simply be regular and sufficient.
Will Chapter 13 stop my wage garnishment?
Filing stops most garnishments right away through the automatic stay. Your employer is notified to stop withholding, and plan payments may instead be deducted if that is how the plan is structured.
What happens if I miss a plan payment?
The trustee may move to dismiss your case, which would end the protection of the stay. Tell your attorney immediately if your income changes; plans can sometimes be modified to reflect real circumstances.
Can I file Chapter 13 if I filed bankruptcy before?
Yes, subject to waiting periods. You must wait 2 years between Chapter 13 filings and 4 years to file Chapter 13 after a Chapter 7. These timing rules are firm, so the date of your last discharge matters.
Can a Chapter 13 plan deal with a car I am about to lose to repossession?
Often, yes. Filing stops repossession and the plan can address the loan balance. Separately, California requires a lender to send written notice before selling a repossessed car, and you may be able to request an extension of the redemption period, which is worth discussing with an attorney.
What if a creditor sued me over a debt that is very old?
California generally allows four years to sue on a written contract and two years on an oral one. A payment alone cannot revive a debt that is already time-barred, though you must raise that defense in writing. A judgment, if entered, is enforceable for 10 years and can be renewed, subject to limits for certain medical and personal debt judgments.
Is a bank account levy covered by the stay?
Yes. Once your case is filed, the automatic stay halts bank levies along with garnishments and lawsuits. California also automatically protects a baseline amount in a deposit account from most levies, though that protection does not cover every kind of debt.
Do I have to come into an office to file?
No. We handle cases entirely by phone, email, video, and online chat, and we offer 100% virtual consultations.
Serving North Hills and Surrounding Chapter 13 Clients
We represent North Hills residents in Los Angeles County and clients across the northern San Fernando Valley, including Mission Hills, Granada Hills, Northridge, Reseda, Van Nuys, Sylmar, San Fernando, and North Hollywood. Our reach extends through the San Fernando Valley to Encino, Woodland Hills, Sherman Oaks, and onward to Hollywood and Santa Monica on the Westside. Clients also come to us from Santa Clarita, Lancaster, Palmdale, Acton, and the Antelope Valley.
Beyond Los Angeles County, we serve families in Long Beach, Lakewood, Torrance, Compton, Inglewood, Gardena, Norwalk, Bellflower, and Huntington Park, as well as in Orange County communities like Anaheim, Santa Ana, Garden Grove, Fullerton, Huntington Beach, Costa Mesa, and Newport Beach. In the Inland Empire and eastern San Gabriel Valley, we work with clients in Ontario, Rancho Cucamonga, Upland, Fontana, San Bernardino, Pomona, Chino, West Covina, Riverside, and the Coachella Valley.
Talk With a North Hills Chapter 13 Bankruptcy Attorney Today
If a foreclosure sale, repossession, or garnishment is bearing down, the fastest path to relief is a conversation with an attorney. A North Hills Chapter 13 bankruptcy attorney at Wadhwani & Shanfeld can review your income, your arrears, and your property, tell you honestly whether Chapter 13 is the right fit, and file quickly if the clock is running. Call today for a free consultation and speak directly with a Board-Certified bankruptcy specialist’s team about your options.
