Chapter 7 and Chapter 13 in Detroit

Have you ever taken a second and looked at all the terms involved in Detroit, Michigan bankruptcy laws? It's like trying to decide on which type of deodorant to buy, there are that many choices. Okay, not really, but it does seem a bit overwhelming. If you are having financial troubles in Motor City, the last thing you want to do is try to decipher all the different chapters of bankruptcy law while avoiding the bill collectors on the phone. It really does get to be a bit much. Let's try to make things simple here. Unless you are filing bankruptcy on behalf of your business, you are most likely going to be considering a Chapter 7 and Chapter 13 bankruptcy under Detroit, Michigan law. With that in mind, let's take a brief look at each one.

• chapter 7 bankruptcy
• chapter 13 bankruptcy
• life after bankruptcy
  
  

Put your money troubles aside for just a second and look at the Detroit, Michigan bankruptcy plans objectively if you can. First up we have the Chapter 7 bankruptcy plan. The upside of Chapter 7 is that you are left with absolutely no debt. No more harassing phone calls or worrying about where the money for the next payment is going to come from. On the downside this type of bankruptcy allows the court to sell your assets, including your home and/or business if necessary, to cover your debts. In essence, you have a total and complete new start.

Under Detroit, Michigan bankruptcy laws, a Chapter 13 bankruptcy plan gives you a fresh start as well. You will just be able to keep some of your important stuff like your home for example. This plan works as a reorganization of your bills. The basic gist of the Chapter 13 bankruptcy plan is you take your bills to court, they, along with information from you, come up with a repayment plan you can afford. The calls stop and your home is saved. You send your money to the trustee once a month and he or she pays the debts. At the end of your individual program, the court sends you bankruptcy discharge papers and you are free and clear of debt, hopefully permanently.

When you choose from a Chapter 7 and Chapter 13 you can bet within a few months time you will be free and clear and ready to rebuild your financial life. Take the time to learn the things you need to know to avoid this kind of problem for the future and the discomfort of bankruptcy will quickly fade.