If you live in Riverside or the surrounding Inland Empire, you’re not alone if debt has taken over your life. Many people delay filing bankruptcy because they think it means losing everything or admitting defeat.
The truth is different. Bankruptcy exists to give you a fresh start, not punish you for financial hardship.
At Janus Law, we’ve seen how debt weighs down families, workers, and small business owners across the Inland Empire. Filing doesn’t have to be scary when you understand the process, the exemptions that protect your property, and the value of having an attorney guide you through each step.
California’s Bankruptcy Process
Filing bankruptcy in Riverside isn’t just about filling out paperwork. It’s a structured legal process overseen by the U.S. Bankruptcy Court for the Central District of California, Riverside Division. Knowing what happens at each stage helps you feel more prepared and confident.
Step 1: Preparing Your Petition
Before you file, you’ll gather detailed financial documents—pay stubs, tax returns, bank statements, property deeds, vehicle titles, and a complete list of debts. Accuracy is critical.
Every income source, expense, asset, and creditor must be disclosed. Leaving something out, even by mistake, can lead to delays or raise red flags with the trustee. An attorney ensures your petition is complete and tailored to California’s requirements.
Step 2: Filing and the Automatic Stay
Once your petition is filed electronically with the Riverside court, the automatic stay takes effect immediately. This is one of the most powerful protections bankruptcy offers. Creditors must stop:
- Calling and sending collection letters
- Garnishing wages or bank accounts
- Continuing foreclosure sales or repossessions
- Filing or pursuing lawsuits
For Inland Empire residents facing aggressive collection actions, the automatic stay often brings instant relief.
Step 3: Trustee Assignment and Case Review
A trustee is assigned to review your case. In Chapter 7, the trustee looks for nonexempt property that could be sold to repay creditors. In Chapter 13, the trustee reviews your repayment plan to make sure it meets legal standards and is realistic given your income.
Because Larry Simons also serves as a Chapter 7 Trustee, Janus Law clients benefit from knowing what trustees look for and how to avoid the mistakes that could cost you property.
Step 4: The 341 Meeting of Creditors
About a month after filing, you’ll attend the 341 meeting. Despite the name, creditors rarely appear. Instead, it’s a short, mandatory hearing where the trustee confirms your identity, asks questions about your petition, and ensures you’ve disclosed everything honestly.
Step 5: Addressing Secured Debts
If you have a mortgage, car loan, or other secured debt, you’ll decide how to handle it. Options include keep making payments, reaffirming the debt, surrendering the property, or paying it off through a Chapter 13 plan. The right choice depends on your long-term goals and California’s exemption protections.
Step 6: Discharge of Debts
In Chapter 7, most unsecured debts—like credit cards, medical bills, and personal loans—are discharged in about three to four months. In Chapter 13, discharge comes after completing your repayment plan, typically three to five years.
Either way, the discharge is the legal order that wipes out your qualifying debt and delivers the fresh start you’ve been working toward.
California Exemptions that Protect Your Assets
One of the biggest fears Inland Empire residents have about bankruptcy is losing property. California law offers generous exemptions that allow you to protect the essentials you need to rebuild. The two exemption systems give you options depending on your situation.
Here are some highlights:
- Homestead exemption: Protects equity in your primary residence. As of recent updates, Riverside County homeowners can often shield hundreds of thousands of dollars in home equity, depending on local median home prices.
- Vehicle exemption: Covers equity in a car or truck you rely on for daily life.
- Household goods and personal property: Furniture, clothing, and appliances are generally safe.
- Retirement accounts: Most qualified retirement funds remain fully exempt.
Choosing the right exemption system is critical. The wrong choice could leave valuable property at risk. That’s why Inland Empire residents benefit from working with a local bankruptcy attorney who knows how to apply California’s laws strategically.
Chapter 7 vs. Chapter 13
Not every bankruptcy case is the same. The right chapter depends on your income, assets, and goals.
- Chapter 7 Bankruptcy: Often called liquidation, it clears most unsecured debt in just a few months. It works best for those with limited income and minimal nonexempt property.
- Chapter 13 Bankruptcy: This repayment plan allows you to catch up on mortgage arrears, protect a car from repossession, or consolidate tax and other priority debts over three to five years.
For Riverside homeowners, Chapter 13 can be a lifeline to stop foreclosure and spread out payments. For renters or those without significant assets, Chapter 7 may provide the quickest relief.
Larry Simons’ decades of experience help clients weigh these options. He knows the trade-offs, the risks, and how trustees view each chapter. That insight makes a difference in charting the right path.
Why Work With Janus Law?
Filing bankruptcy is more than filling out forms—it’s a legal process with lasting consequences. Small mistakes, like undervaluing an asset or leaving out an account, can result in lost property or even dismissal. Having a Riverside bankruptcy attorney means you won’t face the process alone.
Janus Law provides:
- Trustee-level guidance: Larry Simons’ perspective as a Chapter 7 Trustee helps clients avoid common pitfalls.
- Compassionate support: We understand the stress debt creates and treat every client with respect.
- Local knowledge: From Riverside to Corona, Moreno Valley, and Jurupa Valley, we know how Inland Empire residents can use bankruptcy to their advantage.
Take the First Step Toward Relief
Debt doesn’t get better with time; it only grows heavier. If you’re in Riverside or anywhere in the Inland Empire, you don’t need to wait any longer. Bankruptcy may be the tool that stops lawsuits, protects your home, and clears the path forward.
Contact Janus Law right now to schedule your consultation. Together, we’ll protect what matters most and help you secure the fresh start you deserve.
- Filing Bankruptcy in Riverside: What Inland Empire Residents Need to Know - October 17, 2025
- 6 Mistakes Trustees See in Chapter 7 Filings (and How to Avoid Them) - October 17, 2025
- San Fernando Valley Bankruptcy Attorneys vs DIY Filings - September 18, 2025
Schedule An Appointment
Talk to a Bankruptcy Attorney Right Now
Call Now to Schedule An Appointment
Other Tips
6 Mistakes Trustees See in Chapter 7 Filings (and How to Avoid Them)
San Fernando Valley Bankruptcy Attorneys vs DIY Filings
