San Fernando Chapter 13 Bankruptcy Lawyer
A San Fernando Chapter 13 bankruptcy lawyer spends much of the job on one narrow question: how do you keep a house or car you have already fallen behind on? Chapter 13 is not mainly about erasing debt. It is about buying time under federal protection, folding missed payments into a court-approved plan, and keeping property that a lender is ready to take. Wadhwani & Shanfeld is a consumer bankruptcy and debt relief law firm that handles Chapter 13 cases for individuals and families in San Fernando, the rest of the San Fernando Valley, and across Los Angeles, Orange, Riverside, and San Bernardino Counties.
For homeowners in San Fernando, Pacoima, Sylmar, Mission Hills, and the neighborhoods around them, the usual trigger is a missed-payment stretch after a job loss, reduced hours, a medical event, or a divorce, followed by a notice of default from the mortgage servicer. Others come in because a wage garnishment is already shrinking the paycheck, a creditor has won a judgment, or a car loan is in default and repossession looms. Chapter 13 addresses each of these through a three to five year repayment plan built around what you actually earn, and once the court confirms that plan, creditors are bound by it.
The timing details matter, and they are covered below, from the foreclosure calendar that sets your deadlines to the exemption choices that decide how much equity you can protect. The right filing date can be the difference between catching up on a mortgage and losing the home at auction.
Why Choose Wadhwani & Shanfeld for Chapter 13 in San Fernando
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: founding shareholders Raj Wadhwani and Greg Shanfeld. Between them and their team, the firm brings more than 90 years of combined legal experience to Chapter 13 and Chapter 7 cases, along with debt settlement, foreclosure defense, wage garnishment, creditor lawsuits, IRS tax debt, and small business debt. Clients in San Fernando and throughout Los Angeles, Orange, Riverside, and San Bernardino Counties get direct access to an attorney from the first call, a free consultation, and the option of handling the whole case by phone, email, video, or online chat, including 100% virtual consultations.
Board certification is not a marketing label in a field like this. A Chapter 13 plan is a document the trustee, the court, and your mortgage lender all scrutinize, and the arithmetic has to hold together for three to five years. Greg Shanfeld earned his law degree from the University of Southern California and 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. That familiarity with how cases are prepared and filed in this court is practical, not ceremonial.
The firm files in every division of the U.S. Bankruptcy Court for the Central District of California, which matters because the division that hears your case depends on your zip code. Where a sale date, garnishment, or repossession is days away, the firm moves fast to prepare and file. Every client also gets a plan built around income, property, and goals rather than a one-size-fits-all filing, and clear answers in plain English from the first consultation through discharge.
Situations That Lead San Fernando Filers to Chapter 13
- Mortgage Arrears and Pending Foreclosure: Chapter 13 lets you cure missed mortgage payments over the life of the plan while staying current going forward. California’s foreclosure timeline gives you real checkpoints to act before, and a filing stops a scheduled sale.
- Income Above the Chapter 7 Means Test: If your household income compared with the California median for your household size keeps you out of Chapter 7, Chapter 13 is often the route that remains open, with payments set by what you can afford.
- Car Loans in Default: A repossession can happen quickly after missed payments. Filing before the vehicle is sold can let you keep it and spread the arrears through the plan.
- Wage Garnishment from a Judgment: Filing triggers the automatic stay, which stops most garnishments as of the filing date, and the plan then handles the judgment debt on court-supervised terms.
- Home Equity Above the Exemption Limits: In Chapter 7, equity beyond what California exempts can be at risk. Chapter 13 lets you keep the property and instead pay creditors at least what they would have received in a liquidation.
- Priority Debts and Support Arrears: Certain tax debts and past-due support cannot be wiped out in Chapter 7, but a Chapter 13 plan can pay them over time without collection pressure.
- Wholly Unsecured Second Mortgages: In some cases a second mortgage that is entirely underwater can be stripped off through the plan, lowering what you owe on the house.
- Debts That Pile Up After a Lawsuit: Credit card, medical, and personal loan balances that have turned into judgments can be reorganized together instead of fought one creditor at a time.
What to Do and Where to File When a Foreclosure or Garnishment Is Closing In
Start by finding out where you actually are on the foreclosure calendar, because that determines how much time you have. Under California law, no sale can be set until roughly 90 days after a notice of default is recorded, and the sale date can be no earlier than three months and 20 days after that recording. The trustee must mail the notice of sale by registered or certified mail and post it on the property at least 20 days before the auction. You also have a statutory right to reinstate by paying the missed amounts up to five business days before the sale, though a Chapter 13 filing can stop the sale outright and spread the cure over years. If a sale gets postponed by 10 business days or more, the beneficiary must give you written notice of the new date within five business days of the postponement. Gather every notice you have received, because the dates printed on them tell us how fast we need to move.
For a car, the clock is shorter and different. A lender that repossesses a vehicle must send written notice of its intent to sell at least 15 days ahead, extended to 20 days when the notice is mailed from or to an address outside California, and on your written request the redemption period is extended by 10 days. A deficiency claim is only valid if the notice goes out within 60 days of repossession and contains the required items. If you hold a notice like this, bring it to the consultation immediately.
If a creditor has sued you, do not let the response deadline pass. The statute of limitations is a defense you must raise in a written answer, and a court can still enter judgment against you if you stay silent. Written contract and book account claims generally carry a four-year limit, and oral contracts two years, and a payment on an old time-barred debt does not revive it. If a judgment has already been entered, it is enforceable for 10 years and can be renewed, and garnishment on an ordinary judgment is capped by a formula tied to your disposable earnings and the minimum wage. A bank levy is also subject to an automatic exemption on your deposit account balance that the bank must apply without any claim from you, although it does not cover levies for wages owed to another, support, or debts owed to the state. Your employer cannot fire you because one judgment is garnishing your wages.
Your case will be assigned to a bankruptcy court division based on the street address of your residence, not a P.O. box. San Fernando is among the communities on the San Fernando Valley Division list, which sits in Woodland Hills and serves portions of Los Angeles and Ventura Counties. Because the firm files in every division, we confirm the right one against the court’s zip code locator before filing. A few communities, including Santa Clarita, Lancaster, and Palmdale, carry footnotes on that list, so division assignment should never be guessed. Bring recent pay stubs, tax returns, mortgage and loan statements, a list of every creditor, and any court papers you have been served. Avoid paying one creditor in a lump sum right before filing, running up new charges, or transferring property to a relative, since each can create problems with the trustee.
How California Exemptions Decide What You Keep in Chapter 13
California has opted out of the federal exemption scheme, so every filer chooses between two state systems for the whole case. One is the standard system under the Code of Civil Procedure, which includes a homestead exemption set by a formula tied to the countywide median single-family home price, with a statutory floor and a ceiling that adjust for inflation. The other is the alternative system, which carries smaller dollar figures for a residence and vehicle but adds a flexible wildcard that can cover almost any asset. Homeowners with real equity usually fit the first system and renters with little property often do better under the second, but the choice depends on the specifics of your assets. To use California’s exemptions you generally must have lived in the state for at least 730 days.
Exemptions matter in Chapter 13 in a way people do not always expect. You are not at risk of a trustee selling your home, but the plan must pay unsecured creditors at least as much as they would have received had your non-exempt property been liquidated in a Chapter 7. So the more equity you have beyond what the exemption protects, the more your plan has to pay. Getting the exemption choice right can lower your monthly payment, shorten the commitment, or simply keep the plan feasible.
How a Chapter 13 Plan Works From Filing to Discharge
The moment your petition is filed, the automatic stay halts foreclosure proceedings, lawsuits, bank levies, wage garnishments, and repossessions. You then propose a plan that runs three to five years, directing a single monthly payment to the trustee, who distributes it to creditors. The plan has to cover the arrears on your mortgage or car loan, priority debts such as certain taxes and support arrears, and whatever portion of your unsecured debt your income and property require. Once the court confirms the plan, creditors are bound by it. If you finish all payments, the remaining qualifying balances are discharged.
Chapter 13 also gives you ground that Chapter 7 does not. Debts that Chapter 7 cannot eliminate, such as priority tax debt and support arrears, are paid through the plan instead of left hanging over you. And because the plan is built on a realistic budget, many clients find the structure itself useful: one payment, one date, no more juggling collectors. If circumstances change mid-plan, such as a job loss or a medical emergency, options exist to adjust, so a hard stretch does not automatically end the case.
Chapter 13 Questions From San Fernando Homeowners and Borrowers
How fast does Chapter 13 stop a foreclosure sale?
The automatic stay takes effect the instant the petition is filed with the court, and the lender must halt the sale. Because the stay is immediate, the firm can often prepare and file quickly when a sale date is just days away.
Will I keep my house in Chapter 13?
That is the main purpose of the chapter for many people. You cure the missed payments through the plan while staying current on new payments, and the lender cannot proceed with foreclosure as long as you follow the plan.
How long does a Chapter 13 plan last?
Plans run three to five years. The length depends on your income relative to the California median for your household size, how large your arrears are, and what your plan must pay to priority and unsecured creditors.
Can I file Chapter 13 if I recently filed another bankruptcy?
Often yes, subject to waiting periods. You must wait four years to file Chapter 13 after a Chapter 7, and two years between Chapter 13 filings. Those periods are measured by the statute, so the dates of your earlier filing and discharge matter.
What debts can a Chapter 13 plan handle that Chapter 7 cannot?
Chapter 13 can pay priority tax debt, support arrears, and mortgage or car loan arrears over time. In some cases it can also strip off a wholly unsecured second mortgage.
Will my employer find out I filed?
Not automatically. They might learn of it if they are a creditor, if a garnishment must stop, or if plan payments are deducted from your paycheck. California and federal law prohibit an employer from firing you solely for filing.
Does Chapter 13 stop a wage garnishment right away?
Yes, the automatic stay stops most garnishments as of the filing date. We can notify your employer’s payroll department so deductions end, and the judgment debt is then handled under the plan.
My bank account was levied. Does the law protect any of that money?
California automatically protects a set amount in a deposit account for each judgment debtor, and the bank must apply it before turning money over, with no claim needed from you. It does not apply to levies for wages owed to another, support, or debts owed to the state, and the dollar figure is adjusted periodically.
Is a debt too old for the creditor to sue me over it?
Written contract and book account claims generally carry a four-year limit, and oral contracts two years. But you must raise that defense in a written answer, and making a payment on an expired debt does not bring it back to life. A signed written acknowledgment is what can restart the clock on a debt that has not yet expired.
A collector keeps calling and threatening me. Do I have rights beyond bankruptcy?
California’s Rosenthal Act covers original creditors as well as third-party collectors, unlike the federal law. A consumer can recover actual damages, an additional $100 to $1,000 for willful and knowing violations, and attorney fees if successful, with a one-year limit to sue. A collector can avoid liability by correcting a curable violation within 15 days of learning about it.
Is it worth hiring a lawyer instead of using a document preparer?
A petition preparer can type forms but cannot give legal advice, pick your exemptions, or represent you if a trustee or creditor objects. In Chapter 13, where a plan must be confirmed and kept feasible for years, errors can cost you property or your discharge.
Do I have to come into an office to file?
No. Wadhwani & Shanfeld handles cases fully by phone, email, video, and online chat, including 100% virtual consultations, for clients anywhere in the areas it serves.
Serving San Fernando and Surrounding Chapter 13 Clients
The firm represents Chapter 13 filers beginning in San Fernando and the neighboring northeast Valley communities of Sylmar, Mission Hills, North Hills, Granada Hills, and Northridge. From there our reach continues across the San Fernando Valley, including Van Nuys, Reseda, North Hollywood, Encino, Woodland Hills, and Sherman Oaks, and to the Westside and Hollywood, including Santa Monica. We also serve families in Santa Clarita and the Antelope Valley communities of Lancaster, Palmdale, and Acton.
Across the rest of Los Angeles County, the firm helps clients in Los Angeles, Long Beach, Lakewood, Torrance, Compton, Inglewood, Norwalk, Bellflower, Paramount, Gardena, Cerritos, Cypress, Signal Hill, and Huntington Park. In the eastern San Gabriel Valley and the Inland Empire, we work with homeowners and borrowers in Pomona, Claremont, Glendora, West Covina, Montclair, Chino, Chino Hills, Ontario, Upland, Rancho Cucamonga, Fontana, San Bernardino, and Riverside, as well as the Coachella Valley. In Orange County, our clients come from Anaheim, Santa Ana, Garden Grove, Buena Park, Fullerton, Huntington Beach, Westminster, Costa Mesa, Newport Beach, Tustin, La Habra, Placentia, Mission Viejo, and Laguna Niguel.
Talk to a San Fernando Chapter 13 Bankruptcy Attorney Today
If a notice of default, a garnishment, or a repossession letter has put a date on your calendar, the most useful thing you can do is get that date in front of a lawyer. A San Fernando Chapter 13 bankruptcy attorney at Wadhwani & Shanfeld can review your income, mortgage, car loans, and judgments, explain whether Chapter 13, Chapter 7, or a settlement outside court fits best, and tell you plainly where you stand on the clock.
Call to schedule a free consultation and speak directly with an attorney. You can meet by phone or video and handle your entire case remotely, so there is nothing standing between you and a plan to keep your home, your car, and your paycheck.
