Chapter 7 Bankruptcy in the Inland Empire

Schedule Appointment 24/7: Call 909-915-0181

If you live in San Bernardino County or Riverside County and you’re overwhelmed by credit card debt, medical bills, a lawsuit, or wage garnishment, Chapter 7 bankruptcy can provide fast debt relief. As a “liquidation” chapter, Chapter 7 is designed to wipe out most unsecured debt for an honest debtor while protecting essential property through California exemptions.

From the moment you file, the automatic stay generally stops creditor harassment, debt collection calls, foreclosures, bank levies, repossessions, and wage garnishments—giving you breathing room to plan your next steps.

Our Inland Empire Chapter 7 lawyer team will:

Run the chapter 7 means test and review your disposable income and expenses.
Compare California 703 vs 704 exemptions to protect your equity in a home, car, tools, and other assets.
Advise on secured loans (mortgage or car), reaffirmation agreements, and whether surrender, redemption, or negotiation makes sense.
Prepare you for the trustee meeting and handle communications with the United States Bankruptcy Court.

👉 Learn more in related guides:

California Means Test & Median Income
California Exemptions (703 vs 704)
Chapter 13 Bankruptcy Repayment Plans

📞 Call or SMS: 909-915-0181 (Redlands) • 760-835-9353 (Palm Springs)

📧 Prefer email? Use our secure intake form and share your email address to get started today.

Who Qualifies for Chapter 7 in the Inland Empire

1. The Chapter 7 Means Test

The chapter 7 means test compares your household income to California’s median figures. If you are below the median, you generally qualify. If above, we factor in IRS-allowed expenses, secured loan payments (mortgage, car), and taxes to calculate your disposable income.

Special circumstances—such as job loss, medical bills, or household changes—can still qualify you even if you’re over median.

👉 Official reference: U.S. Trustee Program Means Testing

2. Required Pre-Filing Credit Counseling

You must complete approved credit counseling within 180 days before filing Chapter 7. After filing, you’ll complete a short debtor-education course. Both are affordable, and we’ll recommend approved providers.

3. Prior Bankruptcy Timing

“I filed bankruptcy—when can I file again?” For another Chapter 7 discharge, the waiting period is eight years from the date of the prior Chapter 7 filing. Different rules apply if your previous case was under a different chapter.

4. Where Inland Empire Cases Are Filed

Most consumer Chapter 7 cases from San Bernardino and Riverside Counties are filed in the Riverside Division of the United States Bankruptcy Court (Central District of California).

Quick start: Call our Chapter 7 attorney team at 909-915-0181 (Redlands) or 760-835-9353 (Palm Springs), or SMS either number with the word “RELIEF” to get a same-day debt relief review.

What Debts Are Discharged (and What Aren’t)

Chapter 7 is intended to erase most unsecured debt, giving an honest debtor a fresh start.

Dischargeable debts include:

Credit card debt
Personal loans
Medical debt
Deficiency balances after repossession
Many collection judgments

Not dischargeable:

Most student loans (unless undue hardship is proven in a separate lawsuit)
Recent taxes and certain government debts
Domestic support obligations (child/spousal support)
Court fines or fraud-related debts

Automatic stay: Filing triggers the automatic stay, which usually stops lawsuits, wage garnishment, foreclosure, repossession, and creditor harassment immediately.

Secured Debts, Property & Reaffirmation

With secured debts such as a mortgage or car loan, you can:

Surrender the property,
Redeem it (pay lump sum equal to value), or
Reaffirm the loan (continue payments under a reaffirmation agreement).

We’ll help determine when reaffirmation makes sense and when negotiation or surrender is a safer choice.

What Can I Keep? (California 703 vs 704 Exemptions)

California offers two exemption systems—you must choose one:

California “703” Exemptions

Wildcard: $1,950 + unused homestead amount (protects cash, bank balances, refunds, or a second vehicle).
Motor vehicle: $8,625.
Household goods: $925 per item; jewelry up to $2,175.
Tools of trade: $10,950.
Personal injury claims: $36,750 (excluding pain & suffering).

California “704” Exemptions

Homestead exemption: Protects home equity, based on county median home prices (adjusted annually for inflation).
Motor vehicle: $8,625.
Tools of trade: $10,950.
Special protection for public benefit deposits (Social Security, disability).

👉 See: U.S. Courts – Chapter 7 Bankruptcy Basics

Homeowners with equity usually choose 704. Renters or low-equity homeowners often benefit more from 703 because of the wildcard.

⚠️ Important: Avoid transferring property or repaying family right before filing. Trustees can unwind “fraudulent conveyance” or insider payments and recover assets. Always ask a lawyer first.

Timeline, 341 Meeting & What to Bring

Typical Timeline

Pre-filing: Complete credit counseling; gather tax returns, pay stubs, bank statements, contracts, leases, and executory contract details.
File Chapter 7: Automatic stay begins, stopping foreclosure, garnishment, lawsuits, repossessions, and calls.
341 Meeting of Creditors: 21–40 days after filing. You’ll answer the trustee’s questions under oath; meetings are typically short.
Discharge: If there are no objections, discharge is usually entered 60–90 days after the 341 meeting.

What to Bring

Government photo ID and proof of Social Security number (SSN card, W-2, or 1099).
Most recent tax return (sent to the trustee at least 7 days before the meeting).
Recent pay stubs and additional documents requested by the trustee.

We’ll give you a personalized checklist and confirm whether your 341 is in person, video, or by phone.

Fees & Payment Options

Court filing fee: $338 (can be paid in installments or waived for qualifying cases).
Attorney fee: Flat-fee with payment options, depending on case complexity (business ownership, real estate, reaffirmations, tax issues, etc.).
Required courses: Pre-filing credit counseling and post-filing debtor education (usually under $50 each).

Local Notes for Inland Empire Debtors

Most cases are handled through the Riverside Division of the bankruptcy court.
Homeowners: We evaluate home equity, liens, and second mortgages to maximize protection under California’s homestead exemption.
Vehicles: Options include reaffirming a car loan, surrender, or negotiation.
Small business owners: Chapter 7 may affect LLC or corporate assets, leases, contracts, and intellectual property. We coordinate with your CPA.

Frequently Asked Questions

How long does Chapter 7 take in the Inland Empire?

A routine case takes about 3–4 months from filing to discharge, assuming no objections. The timeline is: file → automatic stay → 341 meeting (3–5 weeks later) → discharge (2–3 months after the meeting).

How much does it cost to file Chapter 7?

The federal court filing fee is $338. Attorney fees vary by case but are flat-fee with payment plan options.

Can they take your house if you file Chapter 7?

If your home equity is protected by California’s homestead exemption and you’re current (or catch up arrears), you can usually keep your home. We’ll run the numbers for you.

What if I have “bankruptcy with no assets”?

Many Chapter 7 cases are “no-asset,” where all property is exempt or already tied to secured loans. Trustees file a “no-asset report,” and creditors receive nothing. That’s normal.

Can I file bankruptcy without an attorney?

Yes, but it’s risky. The means test, exemption selection, and reaffirmations are technical. Some low-income debtors use nonprofit tools like Upsolve, but most people benefit from a bankruptcy lawyer.

Will student loans be discharged?

Usually no. Student loans require proving “undue hardship” in a separate lawsuit. This is a tough standard but possible in rare cases.

I filed bankruptcy before—when can I file again?

If your last case was Chapter 7, you must wait eight years between filings to receive another discharge. Different rules apply for Chapter 7 followed by Chapter 13 (and vice versa).

Talk With a Chapter 7 Bankruptcy Lawyer

Law Offices of Edgar Lombera — serving San Bernardino County, Riverside County, and all of Southern California.