Attorney Walter Metzen, the principal bankruptcy attorney at Michigan Bankruptcy Lawyers PLLC, has over 10 years experience in consumer bankruptcy law, and has helped thousands of Metro Detroit and Southeast Michigan residents get a fresh financial start. All associate attorneys have also successfully assisted thousands of clients with their bankruptcy filings.

We maintain close communication with our clients by being readily available in person (walk-in times everyday), by telephone by fax and by email. We are not the largest law firm in Detroit. We are not the largest bankruptcy law firm in Michigan, nor do we want to be. What we do have is a dedicated, experienced staff that will provide you with attentive, personalized service. We do not believe that bigger is necessarily better.

At Michigan Bankruptcy Lawyers PLLC, our philosophy is to provide the client with honest advice, whether bankruptcy is appropriate for the client or not, and to stand up for our client's best interests. You can expect us to communicate with you every step of the way, and explain to you all of our recommendations. Our goal is to provide each client with quality legal services and excellent communication at a reasonable fee.

The attorneys at Michigan Bankruptcy Lawyers PLLC strive to know the law and know the Bankruptcy Court system. We study the Bankruptcy Code, the Bankruptcy rules and the Local Bankruptcy Rules for the Eastern District of Michigan. We know the Bankruptcy Judges the Chapter 7 Trustee's and the Chapter 13 Trustee's. We know the other local bankruptcy attorneys and we can guide you through any bankruptcy proceeding. All attorneys at Michigan Bankruptcy Lawyers PLLC stay current in the latest developments in all our areas of practice and frequently attend seminars, bankruptcy conferences and workshops to maintain the highest level of bankruptcy law counseling as possible.

Certain basic concepts apply under both Chapter 7 and Chapter 13. The case is commenced by filing a petition with the bankruptcy court. The petition must list all of your assets, liabilities and other information required under the code. You cannot pick and choose which creditors to include on the petition, but that doesn't mean you cannot keep your home or vehicle, as will be explained later. All creditors must be listed. You may file as an individual or as husband and wife. Married couples do not have to file together if substantially all debts are solely in one spouse's name.

Your creditors can force you into bankruptcy. This is called an involuntary proceeding. For the most part, involuntary proceedings are confined to business cases. Almost all consumer cases are filed voluntarily. Approximately 75% of the cases I file a Chapter 7 "wipe-out debt" cases, the other 25% are Chapter 13 "reorganization or repayment plans" in which the debtor (or husband and wife) make payments to a Chapter 13 Trustee for a 3 to 5 year time period. Most Chapter 13 cases I file are for debtors who are trying to prevent a foreclosure of their home or repossession of their vehicle. Some Chapter 13 cases are filed because the debtor's are not eligible to file a Chapter 7 either because they have filed a prior Chapter 7 in the previous six year or they have too many assets or make too much money or because they could pay their creditors a good percentage of what they owe with a Chapter 13 plan without too much of a burden on their way of life. Some clients will file a Chapter 13 repayment plan even if they qualify for a Chapter 7 just because they want to pay their creditors. Both Chapter 7 and Chapter 13 will stop creditor action such as a foreclosure or sheriff's sale, utility shut-off, vehicle repossession or wage garnishment. See below or link to my detailed frequently asked questions page for answers to more of your questions. Feel free to e-mail me, come in to see me for a free consultation or call me locally at (313) 962-4656 or toll free at 888-Debt Gone or 888-4Walter.

What is bankruptcy?

Bankruptcy is a legal proceeding in which a person (the debtor) who is unable pay his or her bills (the creditors) can get a fresh start. Bankruptcy is started by filing a petition with the Federal Bankruptcy Court. The petition discloses all of the debtor's financial affairs including assets and liabilities. Filing bankruptcy immediately and instantly, though sometimes only temporarily, stops creditors from seeking to collect debts. Bankruptcy may also eliminate a debtor's obligation to pay many, if not all, debts incurred prior to the bankruptcy filing

Who can file a bankruptcy?

• You must reside or have a domicile, a place of business, or property in the United States or a municipality.
• You must not have been granted a Chapter 7 discharge within the last 6 years or completed a Chapter 13 plan.
• You must not have had a bankruptcy filing dismissed for cause within the last 180 days.
• It must not be a "substantial abuse" of Chapter 7 to grant the debtor relief. Generally speaking, if after you pay the monthly expenses for necessities there is not enough money to pay the remaining monthly debts, then granting a discharge would not be an abuse of Chapter 7.
• It would not be fundamentally unfair to grant the debtor relief under Chapter 7.

Is it true that I can wipe out all my bills?

The underlying policy of bankruptcy law is that the honest debtor who is in debt beyond his/her ability to repay the debt should be given a fresh start through the discharge of debts in a bankruptcy proceeding.

Not all debts are dischargeable. Generally speaking, the following debts will not be discharged: Taxes; Spousal and Child Support; Debts arising out of willful misconduct and or malicious misconduct by the debtor; liability for injury or death from driving while intoxicated; nondischargeable debts from a prior bankruptcy; Student loans; Criminal fines and penalties and Forfeitures.

Those debts which are secured will be discharged, however, expect the creditor to take the necessary legal steps to take back the property. In most cases if the debtor's equity interest in the property is exempt, the debtor may retain the property by redemption or reaffirmation.

Can I stop the bill collectors from calling?

One of the major benefits of filing for protection under Chapter 7 is that many creditor actions are stayed. This means that debt collection efforts and foreclosure is halted.

I am married, does my spouse also have to file bankruptcy?

No. In some cases where only one spouse has debts, or one spouse has debts that are not dischargeable then it might be advisable to have only one spouse file. In cases where real property is involved the question regarding a joint bankruptcy is beyond the scope of this FAQ, see an attorney.

What happens to my personal property, real property and other assets?

Once the bankruptcy is filed, all the property of the debtor at the time of the filing and certain other property to be received in the future, becomes the property of the bankruptcy estate. This means that the bankruptcy trustee will take control of this property for purposes of satisfying the creditors. HOWEVER, there is certain property which is either excluded or exempt and the debtor will be able to keep it. Property or asset exemption are determined based upon your situation, income and the laws of your state. The best way to determine which property to keep requires a detailed analysis of your situation. You need a good lawyer. Don't pick one that advertises in your local paper.