Chapter 13 Bankruptcy – Individual Wage Earner

The purpose of a Michigan Chapter 13 bankruptcy is to allow an individual debtor with a regular income pay back debts using their income and enabling a debtor to keep certain assets. A person who operates a small business as a sole proprietor may also file under this chapter.

Under a Chapter 13 bankruptcy filing, the debtor must promptly file a repayment plan and obtain the court’s approval of the plan. Any creditor may object to the plan. The debtor, along with the appointed trustee, must work out any objections to the plan before the court will approve it. The typical repayment period of a Michigan Chapter 13 bankruptcy is 3 to 5 years. The debtor makes regular payments to the trustee and the trustee distributes these monies to creditors according to the terms of the plan.

After completion of the plan, the debtor’s debts are discharged (with some exceptions) and the debtor is no longer obligated to pay them.

Michigan bankruptcy court filing fee: $274.00 (price subject to change)

Additional Information on Chapter 13 Bankruptcy in Michigan

Stop Home Foreclosure
Saving Your Home From Foreclosure Through Bankruptcy
Chapter 7 and Chapter 13 Bankruptcy Information

For a free bankruptcy consultation, call Lansing bankruptcy attorney, Gene Turnwald, at (517) 347-6700