Filing a Chapter 13 Bankruptcy in Michigan, 248 Lawyers.

Filing a chapter 13 bankruptcy in Michigan is not the end rather a new beginning. Call 248 Lawyers P.C. and see how you can reboot your credit.

If you are filing a Chapter 13 bankruptcy in Michigan, a proposed repayment plan must also be submitted. After reasonable monthly expenses have been paid, how much money will you have left over to put toward your outstanding bills? And how will this money be divvied up among those you owe? Priority claims (such as taxes and back child support) must be paid in full; unsecured debts (like credit card debt and medical bills) are usually paid in part. Depending upon the judgments of those involved with your case, unsecured debts can be paid off for as little as 10 cents on the dollar.

In addition to the general requirements listed above, with a Chapter 13 bankruptcy the repayment plan must pass three tests:

It must be delivered in good faith.
Unsecured creditors must be paid at least as much as if a Chapter 7 bankruptcy had been filed. Generally, this is the value of all the nonexempt property you own.
All disposable income must be paid into the plan for at least three years (you may use up to five years in order to meet the second test that you pay at least as much as in a Chapter 7).

If you have filed a Chapter 13 bankruptcy, you must begin making your plan payments. Generally these payments will be withdrawn directly from your wages and you or your attorney should arrange with the court for these payments to be deducted from your wages.

248 Lawyers P.C. offices are located in Madison Heights and Port Huron. We serve clients in Oakland County, Saint Clair County, Livingston County, Macomb County, Wayne County, Sanilac County, Washtenaw County, Genesee County, Lapeer County, and the entire State of Michigan.