Chapter 13 Bankruptcy Overview

Detroit, Michigan, Chapter 13 Bankruptcy Attorney

Stop Foreclosure On Your Home — Prevent Repossession Of Your Car

Serving the Greater Detroit area since 1977, the Livonia, Michigan, law firm of Charles J. Schneider, P.C., can help you get immediate debt relief while protecting your important assets- such as your car and home through Chapter 13 consumer bankruptcy. Also called a wage earner's plan or debt consolidation bankruptcy, Chapter 13 personal bankruptcy allows you to keep your home and car while paying off your debts over time from your own earned income.

Advantage Of Keeping Your Home And Car

The principal advantage of Chapter 13 bankruptcy over Chapter 7 is that a homeowner in arrears on home mortgage payments will be able to save their home from foreclosure. Many people file Chapter 13 bankruptcy to protect assets in which they have significant equity that otherwise may be lost in Chapter 7 liquidation bankruptcy, including their home, business and car. Chapter 13 provides a way for people to immediately prevent foreclosures and repossessions, while catching up on debts.

Manageable Monthly Payments

Under Chapter 13, the bankruptcy court will approve a repayment plan that provides for the complete satisfaction of most unsecured and secured debts from future income rather than from the current sale of your important assets. The payments you make are structured so that you can meet all your living expenses first and then pay surplus income to creditors. A typical repayment plan lasts three to five years, during which you will make regular payments to a court-appointed trustee who then distributes your money to creditors according to the terms of your plan. Once you have completed this repayment plan, most of your remaining debts are discharged. In a Chapter 7 bankruptcy, some debts are not usually dischargeable, such as alimony, student loans, child support obligations, and certain taxes. A Chapter 13 bankruptcy can be used to protect you from these creditors while forcing them to accept a repayment plan you can afford.

For more information about Chapter 13 bankruptcy, we provide Facts About Chapter 13 and a general Bankruptcy Practice Center for you to learn more about what you can expect from the process.

Detroit Chapter 13 Lawyer Helping Thousands Of Clients Since 1977

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.