Chapter 13 Bankruptcy Attorney in Ann Arbor, MI

Chapter 13 Bankruptcy Overview

Chapter 13 Bankruptcy

The Ann Arbor, Michigan, attorneys at Marrs & Terry, PLLC, are here to help clients seeking debt reorganization through a Chapter 13 bankruptcy filing.

Chapter 13 bankruptcy is often called "debt reorganization," "debt repayment" or "wage earner's bankruptcy." It is designed for people who do have a steady income but still find themselves under a mountain of debt. It is different from a Chapter 7 bankruptcy in that it does not simply erase or forgive debt. Instead, it consolidates debts into a manageable monthly payment that must be made for a set period of time (typically three to five years). At the end of the repayment period, however, remaining debt is commonly forgiven.

This option is ideal for people who have incurred large, sudden expenses like those associated with medical conditions, divorce, ballooning adjustable rate mortgage (ARM) payments or short-term job loss. Even though they are moving forward in their lives, they are unable to really start over because of financial hardship. Chapter 13 bankruptcy can help.

Chapter 13 is also a good way for many people to keep their homes. Chapter 13 can be used as a vehicle to strip away high-interest second mortgages, making monthly mortgage payments affordable enough to avoid foreclosure.

It is important to remember that the social stigma once attached to bankruptcy has largely disappeared, especially as the Michigan economy continues to struggle. You are definitely not alone if you are worried about being able to pay your debts. Learn more about your debt relief options by contacting Marrs & Terry, PLLC, locally in the Ann Arbor area at 734-418-0365 or toll free at 866-665-8095.

Other Frequent Case Types

• Bankruptcy in Detroit, MI
• Bankruptcy in Jackson, MI
• Chapter 7 Bankruptcy in Ann Arbor, MI
• Child Custody in Ann Arbor, MI

Areas of Practice

• Chapter 13 Bankruptcy
• Bankruptcy Law
• Debtor/Creditor