Chapter 13 Bankruptcy

Bankruptcy law in Grand Rapids and West Michigan

Chapter 13 bankruptcy is usually the best option for certain types of individuals.  Those for whom chapter 13 works best generally:

  1. Are behind on their mortgage or car payments.
  2. Make more money than the average household of the same size in Michigan.
  3. Have money available after paying all necessary living expenses that could be used to pay debts, but is not enough to make all payments required by their creditors.
  4. Have equity in their assets that are not fully protected by the available exemptions, and therefore need to pay their creditors enough to allow them to keep those assets.

There are a number of other situations in which a chapter 13 case may be best for a person.  This is why a consultation with a local bankruptcy attorney, like James R. Oppenhuizen, to get advice based on your specific situation.  Click here to schedule, or call our office to schedule a 30 minute risk free consultation.

Chapter 13 involves proposing a plan to make payments over a period of time or until a certain amount of money has been paid to creditors.  The duration of a plan depends upon a number of factors, but no plan can last longer than 60 months.  There was a briefly available exception to this that is no longer available.

There is a lot of flexibility in how the plan can be proposed, and certain legal requirements that must be met in order to have the bankruptcy court confirm (meaning approve) your chapter 13 plan.

Each month, payments are made to a chapter 13 trustee who distributes money to creditors in accordance with your chapter 13 plan, once it has been confirmed.

Having a local, knowledgeable chapter 13 bankruptcy lawyer is essential to success in chapter 13.  Contact us now to schedule a meeting to discuss your options.

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