The analysis to determine whether you can keep 2 houses in a chapter 13 bankruptcy is complicated. In most cases, you will be filing a Chapter 13 bankruptcy when you are trying to save a house or if you “flunked” the means test. With a Chapter 13 bankruptcy, your unsecured creditors cannot receive less than the value of you non-exempt assets as if they were liquidated in a Chapter 7 bankruptcy. The key question is whether an unsecured creditor would receive less than they would have received in Chapter 7 liquidation. If the answer is yes, the trustee will either sell the second house or require you to pay an additional amount to the unsecured creditors to account for the liquidation value of the second…
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How do I know if filing Bankruptcy in Michigan is the right thing for me to do?
You want to carefully consider your options before you make a decision to file a Bankruptcy in Michigan. You will want to review the free reports that we provide and check out posts on our blog and watch some of the instructional videos. If you have any questions about Bankruptcy in Michigan, call Attorney Mike Shovan with the Bay Area Bankruptcy Clinic at (877) 233-9389. Michael J Shovan PLC is a debt relief agency and we help people file for bankruptcy under the laws of the United States Constitution, Article 1, Section 8. This post is for informational purposes only and is not intended to constitute legal advice. Any relationship with this firm will be established by a written agreement signed by both you and…
What happens when I file for Bankruptcy in Michigan?
When you file your bankruptcy petition in Michigan, an “automatic stay” goes into effect. The “automatic stay” prohibits and stops any action against you to collect any debt, to foreclose on any real estate mortgage or repossess any vehicle. The “automatic stay” also stops creditor harassment, IRS and Michigan Department of Treasury collections, utility shut offs and wage garnishments. If you have any questions about Bankruptcy in Michigan, call Attorney Mike Shovan with the Bay Area Bankruptcy Clinic at (877) 233-9389. Michael J Shovan PLC is a debt relief agency and we help people file for bankruptcy under the laws of the United States Constitution, Article 1, Section 8. This post is for informational purposes only and is not intended to constitute legal advice. Any…
How do I pick a good lawyer for my Bankruptcy in Michigan?
The most important thing in dealing with any lawyer is there response time. Do they return your calls promptly – within 24 hours or by the end of the next business day. Or – do you have to call and beg for a response. At the Bay Area Bankruptcy Clinic, I promise to return your call or respond to your email or fax within one business day of your request. For example, if you call me on Monday, I will respond to you no later than the close of business on Tuesday. I have had to hire attorneys myself. I have written big checks to lawyers only to be “blown” off. It is frustrating and, quite frankly, it is not tolerable. I promise to stay…
Do I have to give up my house and all of my other assets if I file for bankruptcy in Michigan?
NO! Under the Bankruptcy law you are entitled to keep certain assets for a “fresh start”. These assets or interests are called exemptions and here is a summary of the federal exemptions: Homestead: 522(d)(1) Real property, including mobile homes and co-ops, or burial plots up to $20,200. Unused portion of homestead, up to $10,125, may be used for other property. Personal Property: 522(d)(2) – Motor vehicle up to $3,225. 522(d)(3) – Animals, crops, clothing, appliances and furnishings, books, household goods, and musical instruments up to $525 per item, and up to $10,775 total. 522(d)(4) – Jewelry up to $1,350. 522(d)(5) – $1,075 of any property, and unused portion of homestead up to $10,125. 522(d)(9) – Health aids. 522(d)(11)(B) – Wrongful death recovery for person you…
If I am working on a loan modification, will that stop the foreclosure process?
The answer is no. Your bank can proceed with a foreclosure even if you are working on a loan modification. You may have to consider filing for bankruptcy in Michigan. Filing for bankruptcy will stop the foreclosure process temporarily. If you file a Chapter 13 bankruptcy you have up to five (5) years to catch up on missed payments. A Chapter 7 bankruptcy will eliminate unsecured debt (like credit cards or medical bills) so that you have extra money to pay on your mortgage. If you have any questions about Bankruptcy in Michigan, call the law office of Attorney Mike Shovan with the Bay Area Bankruptcy Clinic at (877) 233-9389. Michael J Shovan PLC is a debt relief agency and we help people file for…
Can I use my credit cards for Christmas presents if I am planning on filing a Bankruptcy in Michigan in the New Year?
The answer is no. If you use your credit card(s) to purchase Christmas presents or other holiday gifts you risk not being able to discharge that debt. If the credit card company finds out that you used the card without intending to repay the debt, the credit card company can object to the discharge of that debt. The credit card company will argue that you defrauded them and that the debt should not be discharged. If you have any questions about Bankruptcy in Michigan, call the law office of Michael J Shovan PLC (“Bay Area Bankruptcy Clinic”) right now at (877) 233-9389 and speak to an attorney who can answer your questions. Michael J Shovan PLC is a debt relief agency and we help people…