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Chapter 13 Bankruptcy in Michigan

Experience and Education on Your Side!

Port Huron Michigan Attorney Lauren Powell is Nationally Board Certified in Consumer Bankruptcy Law through the American Board of Certification. This certification means that Ms. Powell has been recognized as a nationwide expert in the field of consumer bankruptcy law, through rigorous testing, references from colleagues and judges, and experience and education in the field. Only a small amount of attorneys nationwide have obtained this recognition.

However, at Powell Law Offices, we still keep fees affordable and don’t charge more for Ms. Powell’s expertise. Our goal is to help everyone.

When you’re looking for a bankruptcy attorney, the choice is clear. Let our experience and expertise work for you.

How Do I Know Chapter 13 Bankruptcy is Right for Me?

Chapter 13 bankruptcy is an excellent choice for people who have the following issues:

  1. You have missed payments on your mortgage and don’t want a foreclosure on your home;
  2. You owe income taxes to the IRS and/or State of Michigan;
  3. You have missed payments on your vehicle and don’t want to lose it to repossession;
  4. You have a significant amount of income and still need debt relief;
  5. You have a significant amount of valuable property you want to keep.
Understanding Chapter 13 Bankruptcy

In a Chapter 13 bankruptcy, you make monthly payments to your lenders. If you are behind on your mortgage or car payments, you can catch those payments up little by little through a Chapter 13 bankruptcy, instead of having to pay the amount you’re behind all at once.

In a Chapter 13 bankruptcy, you don’t have to pay 100% of your unsecured (credit cards, medical bills) debts back, but instead pay what you can afford to at 0% interest.

If you make all of your payments and complete your Chapter 13 bankruptcy, whatever amount of unsecured debt you did not pay is discharged and goes away, just like in a Chapter 7 bankruptcy.

Chapter 13 bankruptcy can provide much needed relief from debt, so that you can pay the monthly bills that are most important to your family.

If you have a vehicle or home you want to return to the lender and stop paying, you can do that as well, without financial recourse to you.

What if a Lender is Suing Me or Garnishing my Wages?

Filing bankruptcy immediately stops any action any lender is taking against you. If you have been sued, the lawsuit will stop once you file bankruptcy.

If your wages are being garnished, filing bankruptcy will stop that as well.

What Property can I Keep When I File Chapter 13 Bankruptcy?

When you file Chapter 13 bankruptcy, you can keep all of your property because you are repaying something on your debts. None of your property is liquidated in a Chapter 13.

What Should I NOT do?

DO NOT take a home equity loan to pay your unsecured debts! Unsecured debts, like credit cards, are not secured by property. That means that if you stop paying your credit card, there is no property for those cards to automatically take as a result of you not paying them. A home equity loan is secured against your house – so if you don’t pay the loan, the lender can take your house. By taking a home equity loan to pay your debts, you have converted unsecured debt into secured debt. You can keep all of the equity in your home when you file Chapter 13 bankruptcy and still discharge those debts.

DO NOT liquidate your retirement account to pay debt! You can file a Chapter 13 bankruptcy to pay your debt, and keep 100% of any balance in your retirement accounts, such as IRAs, 401(k)s, and pensions.

Benefits Of Chapter 13

Chapter 13 is an excellent tool for you to use to pay something on your debts, keep all of your property, and still get debt relief.

Hire a Michigan Bankruptcy Lawyer for the Help You Need

Powell Law Offices, P.C., understands the intricacies of bankruptcy and can answer any questions you have. Lauren Powell works one on one with clients, which means you will have direct access to your lawyer at all times. We are proud of our client commitment and will keep you informed and confident. We also offer a free bankruptcy case evaluation for each client, so schedule your consultation right away. The sooner you hire a lawyer, the sooner you can find relief from your overwhelming debts. Contact us today!