What Are The Different Filing Options?
If you are considering filing for bankruptcy, or have decided to do so, you should understand that as a Michigan resident you have unique options. Aiello and Associates is a Michigan firm that has been practicing bankruptcy law for years, and is able to advise you on the possible outcomes of your case.
Is Chapter 7 Or Chapter 13 Right For You?
As a Michigan consumer, the U.S. Bankruptcy Code offers you two options to file, depending upon your unique circumstances.
Chapter 7 Bankruptcy is commonly referred to as liquidation bankruptcy, and the general idea is that the debtor’s assets are sold by a court-appointed trustee to satisfy the debtor’s debts. However, an actual liquidation is a rarity. Once the bankruptcy petition is filed, an automatic stay is ordered. An automatic stay temporarily stops all collection activity, including creditor calls, home foreclosure, wage garnishments, car repossessions and other related activities.
Chapter 13 Bankruptcy is referred to as reorganization bankruptcy. Similar to a Chapter 7 bankruptcy, once a debtor files for a Chapter 13 bankruptcy, the court issues an automatic stay, which temporarily halts all collection activities. The debtor is then placed into a repayment plan that is typically stretched up to five years.
Learn About Your Options
Your debt relief options will vary depending upon your unique circumstances. During your free consultation, we will help you determine whether filing under Chapter 7 or Chapter 13 is right for you, help you learn whether any other debt settlement options may be appropriate, and answer any and all other questions you may have about your situation. Call 586-250-5527 today to speak with an attorney or reach out via our online form.
We are a debt relief agency. We help people find bankruptcy relief through the Bankruptcy Code.