Common Questions About the Bankruptcy Process in Sacramento, CA

Filing for bankruptcy can feel overwhelming, especially if you’ve never been through it before. At Liviakis Law Firm, our Sacramento bankruptcy attorneys helps individuals and families understand their options and navigate each step of the process with clarity and confidence.

Below are some of the most common questions our clients ask when considering bankruptcy in Sacramento County.

1. Do I Qualify for Bankruptcy?

Most people who are struggling with debt qualify for some form of bankruptcy relief. Chapter 7 and Chapter 13 are the two most common types for individuals. Chapter 7 is usually best for those with significant unsecured debt and limited income, while Chapter 13 works well for people who can make monthly payments to catch up on secured debts like mortgages or car loans.

A Sacramento bankruptcy lawyer can review your finances and help determine which option fits your circumstances.

2. Will I Lose My Home or Car If I File?

Not necessarily. Many clients keep their homes, cars, and personal property through California’s exemption laws or by filing under Chapter 13, which allows repayment of past-due amounts over time. Every case is different, so it’s important to discuss your assets with a knowledgeable attorney before filing.

3. How Long Does the Bankruptcy Process Take?

The timeline depends on which chapter you file. Chapter 7 cases usually last between three and five months, while Chapter 13 repayment plans span three to five years. Once your case is filed, creditors must immediately stop calling, suing, or garnishing your wages thanks to the automatic stay.

4. How Does Bankruptcy Affect My Credit?

Bankruptcy will appear on your credit report for several years, but most people begin rebuilding credit much sooner than they expect. Many of our Sacramento clients see improvement in their credit scores within a year or two after discharge. Bankruptcy can be the first step toward financial recovery — not the end of it.

5. Will Bankruptcy Erase All My Debts?

Bankruptcy can eliminate most unsecured debts such as credit cards, medical bills, and personal loans. However, certain obligations like child support, student loans, and recent tax debts are typically not dischargeable. We’ll help you identify which debts qualify for discharge so you know exactly what to expect.

6. Do I Need a Lawyer to File for Bankruptcy in Sacramento?

While it’s legally possible to file without one, the process is complex and mistakes can be costly. Having a local Sacramento bankruptcy lawyer ensures that your paperwork is accurate, your exemptions are fully used, and your rights are protected throughout the case.

Talk With a Sacramento Bankruptcy Attorney Today

Bankruptcy doesn’t have to be confusing — and you don’t have to face it alone. At Liviakis Law Firm, we’ve helped countless Sacramento residents regain financial stability and peace of mind through honest, personalized legal guidance.

📞 Call us today or schedule a confidential consultation to discuss your questions about the bankruptcy process in Sacramento County, CA.