Stop Foreclosure and Repossession Now.
How to Keep Your Car and Keep Your House:
No one ever plans to get over their head in debt. But sometimes bad situations happen to good people and they fall into a difficult financial situation through no fault of their own. Many people’s biggest concern when they are in a debt situation is keeping their home and keeping their automobile. Our experienced debt resolution and bankruptcy lawyers can help get you out of this rut and back on the road to recovery.
Delay Foreclosure With Chapter 7 Bankruptcy– Lawyers Southfield
Chapter 7 Bankruptcy will delay a foreclosure but won’t block it permanently. You’re more likely to be able to keep your house if you file for Chapter 13 bankruptcy (see below). However, Chapter 7 can get rid of other debts (credit card bills, medical bills, judgments, etc.) freeing up enough money for you to start making your house payment again.
Additionally, Chapter 7 bankruptcy can often eliminate the debt owed under any second or third mortgage. This means the owners of the 2nd or 3rd mortgage debts can’t sue you for money and/or foreclosure.
While Chapter 7 doesn’t permanently prevent foreclosure, it can DELAY foreclosure proceedings for two to four months. So even if you are considering giving up your home eventually, Chapter 7 can buy you valuable additional time to find a new place to live and to move. However, if you have equity in you home and/or you really want to keep the home permanently but can not afford the current mortgage payments, you may want to consider filing Chapter 13 bankruptcy.
Stop Foreclosure With Chapter 13 Bankruptcy– Lawyers Southfield Detroit
Chapter 13 Bankruptcy offers individuals the advantages over liquidation under Chapter 7 of offering individuals an opportunity to save their homes from foreclosure. By filing under Chapter 13, individuals can actually stop foreclosure proceedings and may cure delinquent mortgage payments over time.
Generally, you don’t give up any property in Chapter 13 bankruptcy. This means that if you are behind on your mortgage or facing foreclosure, Chapter 13 (unlike Chapter 7) allows you to make up mortgage arrears through your Chapter 13 “re-payment plan”.
Chapter 13 bankruptcy also provides other tools to reduce your home mortgage debt. You can “strip off” second or third mortgages or home equity lines of credit in certain situations. This can also serve to reduce your home loan debt significantly.
When you file Chapter 13 Bankruptcy your lender can’t foreclose on your house because of pre-bankruptcy mortgage arrears (missed payments) if you are curing them through your repayment plan. The moment you file for Chapter 13 bankruptcy, an automatic stay is created. The stay prohibits your mortgage lender from selling your house or continuing any other collection efforts. This stay will remain in effect as long as you make timely payments under your re-payment plan, and continue to pay your ongoing mortgage payments as they come due after your filing date.
Delay Car Repossession With Chapter 7 Bankruptcy– Lawyers Southfield Detroit
Chapter 7 bankruptcy does not permanently prevent a car repossession. However, Chapter 7 can temporarily delay the lender from repossessing your car – which will allow you more time to negotiate or to get caught up.
Also, Chapter 7 can get rid of other debts (credit card bills, medical bills, judgments, etc.) freeing up enough money for you to start making your car payments again.
When you file for Chapter 7 bankruptcy, an automatic stay is put in place that prohibits most creditors from continuing ANY collection activities. This means that your lender cannot repossess your car without getting the Court’s approval. However, a Chapter 7 Bankruptcy usually lasts only a few months – so once your case is closed, there is no stay and the lender is free to repossess the car.
Additionally, the Lender can ask the Court for Permission to repossess the car BEFORE the Chapter 7 is closed. So, unless you can show that you are making payments and attempting to catch up on your arrears, most Chapter 7 judges will grant the lender permission to repossess before the case is over.
Stop Car Repossession With Chapter 13 Bankruptcy– Lawyers Southfield Detroit
When you file for Chapter 13 bankruptcy an “automatic stay” is put in place that prohibits most creditors from continuing collection efforts against you – this prevents your car loan lender from repossessing your car.
You can usually permanently keep your car if you file for Chapter 13 bankruptcy. If you are behind on car payments, you can make up the arrears through your Chapter 13 repayment plan and avoid repossession.
Additionally, if you are upside down on your car loan (you owe more than the car is worth), you might also be able to reduce the value of your car loan to the current replacement value of the car. This can substantially lower what you owe as well as what your payments will be.
If you are facing foreclosure or repossession call our bankruptcy lawyers immediately.
The best way to prevent a foreclosure or repossession – and keep you home and car – is to consult an experienced bankruptcy lawyer as soon as possible. Ther are many things that a debt resolution lawyer can do to help you protect your property from creditors. Our skilled bankruptcy lawyers have helped thousands of individuals in Wayne and Oakland County stay in their homes and keep their vehicles. CLICK HERE or call us immediately for your FREE Consultation. We can help!
Detroit Lawyers Discuss Getting Out From Credit Card Debt & Medical Bills –
Our experienced bankruptcy lawyers understand that life can “throw you a curve” and your financial circumstances can change in the blink of an eye. Today’s economic conditions have created hardship for many well-meaning, hard working individuals. Additionally, an illness, a death, or the loss of a job can suddenly throw your life into economic turmoil.
Filing bankruptcy can help get you out of this financial rut and back on the road to recovery. Bankruptcy can reduce or even completely discharge most or all of your debts – or allow you to pay them back according to a schedule that works for you.
How a debt is treated will depend upon if it is “secured” or “unsecured”. A secured debt is one that is “attached” to physical property, such as a house or a car. An “unsecured debt” is one where money is owed – but there is no physical property that is guaranteeing the debt – such as charge cards or hospital bills.
Credit Card Debts and Medical Bills– Lawyers Southfield Detroit
Credit Card Debts and Medical Bills are the most common form of “unsecured” debt. It is very easy to accumulate a large amount of credit card debt or huge medical bills in a short amount of time. When this happens, trying to get “caught up” can seem impossible – and it can be overwhelming
The good news is that “unsecured debts” – including charge card debt and medical bill debt – can be COMPLETELY discharged in Bankruptcy!
In Chapter 7 Bankruptcy, debtors are usually able to “wipe out” (discharge) credit card debts completely. Your home, car and other personal property generally are “exempt” and can not be sold in a Chapter 7 Bankruptcy. The Chapter 7 trustee is allowed to sell non-exempt items to pay off your debt – but most people who qualify for Chapter 7 do not have any assets valuable enough to be sold. So, in most Chapter 7 cases, your obligation to pay the balance of the charge card or medical bill will simply be discharged upon successful completion of the case.
(Note: there are a few exceptions in the case of fraud.)
Chapter 13 Bankruptcy – which is primarily for individuals with income and/or assets – also offers debt relief for charge card and medical bill debt. Instead of requiring the debtor to sell his or her assets or property to pay creditors, Chapter 13 allows the debtor to propose a “plan” to reduce payments and repay creditors over a longer period of time – usually three to five years.
Under both Chapter 7 and Chapter 13 the debtor is completely protected from lawsuits, garnishments, harassing phone calls and other creditor actions. In other words, the relief starts immediately upon filing of the Bankruptcy by your lawyer. From that moment on the creditors must deal with the trustee and your bankruptcy lawyer and leave you alone! This is a huge relief for most individuals who are dealing with credit card or medical bill debt.
Co-Signers and Credit Card Debts– Lawyers Southfield Detroit
Keep in mind that a Bankruptcy discharge applies only to the debtor in a bankruptcy case. The discharge does not extend to guarantors or cosignors. So, if anyone else is liable for charges that you made on a credit card, they will still be responsible for the debt after you file Chapter 7 bankruptcy – even if the debt is discharged against you.
Call Our Bankruptcy Lawyers if You are Facing Credit Card Bills or Medical Debts
The best way to understand your options for getting out from under overwhelming Credit Card and Medical Bill debt is to consult with one of our experienced debt relief lawyers. We will patiently explain your options and help you determine the course of action that is best for you. Call our experienced bankruptcy and debt relief lawyers today for your FREE CONSULTATION – and say goodbye to your financial worry and stress.
Which Bankruptcy Chapter Is Right for Me?
Most personal bankruptcies filed in the Unites States are either Chapter 7 or Chapter 13. (Business Bankruptcies fall under Chapter 11).
Whether Chapter 7 or 13 Bankruptcy is right for you depends on:
- Your earnings or other income,
- The value of your assets (home, cars, bank accounts, etc.),
- The amount of your debts (credit card, medical bills, other),
- Your financial goals.
The best way to determine which bankruptcy chapter is right for your individual situation is to discuss your case with an experienced bankruptcy lawyer. However, our experienced bankruptcy lawyers have set forth a few of the main differences between Chapter 7 and Chapter 13, below.
Chapter 7 Bankruptcy – Oakland County Lawyers: Southfield, Pontiac, Detroit
Chapter 7 is a “liquidation” bankruptcy designed to completely “wipe out” all of your unsecured debts – such as credit cards and medical bills. The only “re-payment” of these debts will come if you have any assets worth selling. Your sellable assets are “liquidated”, the creditors are paid from the proceeds of the sale and the rest of the debt is completely “discharged.”
Certain assets are “exempt” from being sold (such as a home, car and personal affects). If you don’t have any non-exempt assets to sell, your creditors receive nothing. Therefore, Chapter 7 bankruptcy is usually best for low income debtors with little or no assets who want to get rid of their unsecured debts.
To qualify for Chapter 7 bankruptcy, you also must have little or no disposable income. If you make too much money, the Bankruptcy Court will require you to file a Chapter 13 Bankruptcy instead.
Chapter 13 Bankruptcy – Oakland County Lawyers: Southfield, Pontiac, Detroit
Chapter 13 Bankruptcy is also called “Wage Earner Bankruptcy” or “Reorganization Bankruptcy.” Chapter 13 Bankruptcy is designed for individuals (or married couples) with an income and/or assets – who want to keep their property and are able to pay back their creditors over time.
Instead of requiring the debtor to sell his or her property to pay creditors as in Chapter 7, Chapter 13 allows the debtor to propose a “plan” to repay creditors over time – usually three to five years.
Unlike Chapter 7, the debtor does not receive an immediate discharge of debts. The debtor must complete the payments required under the plan before the discharge is received.
Chapter 13 offers individuals a number of advantages over liquidation under Chapter 7. Perhaps most significantly, Chapter 13 offers individuals an opportunity to save their homes from foreclosure. By filing under Chapter 13, individuals can stop foreclosure proceedings and may cure delinquent mortgage payments over time – while generally Chapter 7 bankruptcy only delays foreclosure.
Which Bankruptcy Is Right for Me? Oakland County Lawyers: Southfield, Pontiac, Detroit
The best way to determine whether filing a Chapter 7 or Chapter 13 Bankruptcy is right for your specific personal situation is to consult with one of our experienced Bankruptcy lawyers.
Our skilled bankruptcy lawyers have helped thousands of individuals get a fresh start. Our attorneys will help you understand your options so that your rights and your property are protected. We will also file immediately for you, to stop (“stay”) any garnishments, foreclosures or repossessions as soon as possible.