Chapter 13 Bankruptcy in Los Angeles
Keep your home and valuable assets while reorganizing your debts through a manageable 3-5 year repayment plan. Our experienced Los Angeles Chapter 13 attorneys will help you create a plan that works.
Free consultation • Keep your home • Experienced with LA courts
Explore keeping your home through Chapter 13
What is Chapter 13 Bankruptcy?
Chapter 13 bankruptcy, also known as "reorganization bankruptcy" or the "wage earner's plan," allows individuals with regular income to develop a plan to repay all or part of their debts over 3 to 5 years.
Unlike Chapter 7, you don't lose your property in Chapter 13. Instead, you make monthly payments to a bankruptcy trustee, who then distributes the money to your creditors according to your court-approved repayment plan.
This makes Chapter 13 particularly attractive for Los Angeles homeowners who want to keep their homes while getting relief from overwhelming debt.
Chapter 13 is especially popular in Los Angeles due to high property values and the desire to protect home equity.
Average LA Home Value: $800,000+
Typical Plan Length: 3-5 years
Success Rate: 60%+ completion
Foreclosure Protection: Immediate upon filing
How Chapter 13 Repayment Plans Work
We analyze your income, expenses, and debts to create a feasible repayment plan that the court will approve.
You make one monthly payment to the trustee, who distributes funds to creditors according to your plan.
After completing your plan, remaining eligible debts are discharged, giving you a fresh financial start.
Benefits for Homeowners
- Keep your home and other valuable assets
- Stop foreclosure proceedings immediately
- Catch up on missed mortgage payments over time
- Reduce or eliminate second mortgages
- Lower monthly payments through debt consolidation
- Protection from creditor harassment
- Potential reduction of unsecured debt balances
- Regular income sufficient to make plan payments
- Unsecured debts under $465,275
- Secured debts under $1,395,875
- Filed tax returns for the past 4 years
- Completed credit counseling course
- Ability to pay priority debts in full
Why Chapter 13 is Common in Los Angeles
LA Market Factors:
- High home values make Chapter 7 asset protection difficult
- Many homeowners have significant equity to protect
- California's high cost of living creates manageable payment plans
- Allows time to catch up on mortgage arrearages
- Protects against Los Angeles foreclosure market
Success Statistics:
Ready to Get Your Fresh Start?
Don't let debt control your life. Our experienced Los Angeles bankruptcy attorneys are here to help you explore your options and find the best path forward.