If you are struggling with debt, being harassed by creditors, facing foreclosure or having your wages garnished, the time to act is now. Talk to an experienced bankruptcy attorney in Westland to get your questions answered and know your rights. You do have options and bankruptcy can help you get the fresh start you deserve so you can begin to rebuild your credit and live your life without the crushing burden of debt. At the law firm of Firebaugh & Andrews PLC, we will handle consumer bankruptcies throughout Eastern Michigan  Tired of harassment, and threats of collection or foreclosure? By law, filing for bankruptcy will immediately put a stop to creditor harassment and threats of wage garnishment or repossession.

There Is No Shame in Seeking Help From a Bankruptcy Attorney

Most people who end up filing bankruptcy, didn’t start out planning to file bankruptcy. In general, most of our clients who’ve filed bankruptcy are hard working people who fell on hard times unexpectedly. Many people see bankruptcy as an admission of. defeat rather than the grace to start over. As a result, people struggling under the stress of debt often wait way too long before seeking help from a bankruptcy attorney. Millions of Americans file bankruptcy every year, so you are not alone in considering bankruptcy.

How Will Bankruptcy Affect My Credit?

Clients often worry about how bankruptcy will affect their credit score. The truth is that if you are seeking bankruptcy, your credit is most likely already severely damaged. After filing, bankruptcy clients often obtain auto and home loans within a few years of receiving their bankruptcy discharge. Without the help of a bankruptcy, you could spend decades trying to rebuild your credit score. The practical benefits of filing a bankruptcy usually outweigh the affect a bankruptcy may have on your credit, if any.

What Type of Bankruptcy Is Right for You?

Most consumers prefer to file Chapter 7 Bankruptcy. The bankruptcy laws allow most people who file Chapter 7 to keep their property, including their home and vehicle. However, if you have too much income to qualify for Chapter 7 or are seeking to save your home from foreclosure, Chapter 13 may be the better choice. Chapter 13 consists of a three-to five-year payment plan administered by a bankruptcy trustee through the court system. You must have consistent income to qualify for a Chapter 13 Bankruptcy.

Chapter 7 Bankruptcy in Michigan

At the law firm of Firebaugh & Andrews PLC, we are committed to helping consumers get the fresh start they need through Chapter 7 Bankruptcy. If you have made the decision to seek debt relief through bankruptcy, Chapter 7 is likely the most desirable form of bankruptcy for you to pursue because most people are allowed to keep their property without making new payments. Chapter 7 Bankruptcy, otherwise known as liquidation bankruptcy, typically lasts between three and five months before the debt is discharged. As soon as you file however, the creditor harassment and collections calls will stop. Our bankruptcy attorneys will answer all of your questions and make sure you understand all of your rights and obligations at every step of the process.

Chapter 7 Means Test

In order to file for Chapter 7, you must pass the means test. Your monthly income for the past 6 months will be examined. If your income is too high, you may have to turn to a Chapter 13 debt repayment plan.

Bankruptcy Exemptions

Many of our clients are concerned about losing their assets during a Chapter 7 Bankruptcy. Specific laws called “Bankruptcy Exemptions” allow debtors to keep their property. By selecting the correct Bankruptcy Exemptions, our attorneys have helped most of our clients who have filed Chapter 7 Bankruptcy, keep all of their property including their home and vehicle. In Michigan, you have the option to use the federal bankruptcy exemptions, which are much more generous than the benefits in many states. However, in a situation where one spouse is legally responsible for the debt in question and you want to protect your home, it may be an advantage to use Michigan’s bankruptcy exemptions.on.

Westland Chapter 7 Bankruptcy Attorneys Firebaugh & Andrews

Is Chapter 7 Bankruptcy right for you? For more answers to your questions, call us at 734-722-2999 for your free consultation.

Chapter 13 Bankruptcy in Michigan

In a Chapter 13 bankruptcy, a debtor enters into a court-order-repayment plan that binds his or her creditors to the terms of the plan. The debtor creates and proposes the repayment plan when he or she files for Chapter 13 bankruptcy protection. In general as long as the plan complies with the Federal Bankruptcy Laws, the bankruptcy judge will confirm the plan, which means the creditors will have to accept the terms of the debtor’s proposed repayment plan.

Common Reasons for Filing a Chapter 13 Bankruptcy Instead of a Chapter 7

1. Debtors who have more income than the average household in their area may not be eligible for a Chapter 7 bankruptcy and will need to file a Chapter 13 to get bankruptcy relief.
2. People who are behind on house payments can use a Chapter 13 bankruptcy to catch up on their back payments over the course of their repayment plan and avoid foreclosure.
3. While legal fees typically need to be paid in advance prior to filing a Chapter 7 bankruptcy, legal fees can be paid overtime through the Chapter 13 repayment plan, even after the bankruptcy has been filed.
4. Individuals or families who have assets that may have to be surrendered in a Chapter 7 bankruptcy can often protect and keep these assets with a Chapter 13 bankruptcy.

Contact Firebaugh & Andrews PLC online or call us at 734-722-2999 to schedule a free consultation. We will answer all of your questions and help you take a step forward to improve your financial life.