How Do you file for Bankruptcy in Michigan? Bankruptcy is a challenging and overwhelming process, but understanding how to file is important. Read the outline below and consult an attorney before doing anything or filing anything. Squirrel away some money for the attorney because if you want to get an attorney who will really represent you it may cost a little more.
Here are the steps on how to file bankruptcy in Michigan:
- Take a credit counseling course. You must take a credit counseling course from a government-approved organization within 180 days before you file for bankruptcy.
- Complete a debtor education course. You must complete a debtor education course before your debts can be discharged.
- Choose the type of bankruptcy you want to file. There are two main types of bankruptcy: Chapter 7 and Chapter 13. Chapter 7 bankruptcy is a liquidation bankruptcy, which means that your assets will be sold to pay off your debts. Chapter 13 bankruptcy is a reorganization bankruptcy, which means that you will create a repayment plan to repay your debts over time.
- Gather your paperwork. You will need to gather a variety of paperwork to file for bankruptcy, including:
- Your most recent tax returns
- Pay stubs from the past 60 days
- A list of your assets and debts
- A list of your creditors
- Proof of your income and expenses
- File your bankruptcy petition. You can file your bankruptcy petition online or by mail. The filing fee for Chapter 7 bankruptcy is $335 and the filing fee for Chapter 13 bankruptcy is $310.
- Attend your creditors’ meeting. After you file your bankruptcy petition, you will need to attend a creditors’ meeting. This is a meeting where your creditors can ask you questions about your bankruptcy filing.
- Complete your bankruptcy plan. If you file for Chapter 13 bankruptcy, you will need to create a repayment plan. This plan will detail how you will repay your debts over time.
- Receive your discharge. After you complete your bankruptcy plan, you will receive a discharge of your debts. This means that you will no longer be legally obligated to repay your debts.
You can file bankruptcy without an attorney in Michigan, but it is advisable to speak with an attorney to discuss your specific situation. An attorney can help you understand the bankruptcy process and ensure that you file your paperwork correctly.
Here are some additional things to keep in mind when filing bankruptcy in Michigan:
- The exemptions available to you in bankruptcy may vary depending on your specific circumstances.
- You may be able to keep your home and car in bankruptcy, but this will depend on your equity in the property and other factors.
- Bankruptcy can have a negative impact on your credit score, but it will not last forever.
If you are considering filing bankruptcy, it is important to speak with an attorney to get legal advice specific to your situation.
