Detroit Chapter 13 Bankruptcy Attorneys

When you can’t meet your monthly financial obligations, the situation can eventually escalate into a serious problem. This can mean wage garnishments, repossession of your vehicles and other belongings, and Notices of Default from your mortgage lender. Without a viable solution, you stand to lose income, assets, and property that you may have invested in for years. Your debt may increase due to penalties, fees, and increased interest rates on credit cards and other loans.

When facing such potentially distressing consequences, the time to act is sooner rather than later. At Kostopoulos Bankruptcy Law, our dedicated legal team has seen every variation, size, and complexity of consumer debt through our decades of professional work. We understand the stress and anxiety that these situations evoke and how difficult it can be to seek the help you need. With our assistance, however, you could be on your way to eliminating all or a portion of the unsecured debt you owe while saving your home, car, and paycheck from being stripped through foreclosure, repossession, or wage garnishments.  


Talk to a Detroit Chapter 13 bankruptcy lawyer about your situation during a free case evaluation. Connect with the team at Kostopoulos Bankruptcy Law via email or by calling (866) 969-7482 to get started.


Chapter 13 Bankruptcy in Michigan

A Chapter 13 bankruptcy is often referred to as the “wage earners” bankruptcy and is the debt consolidation form of bankruptcy. This filing works for those who have a stable income that allows them to pay off all or a portion of their debt through an affordable monthly repayment plan. This can mean paying pennies on the dollar of what is owed without interest. Under this form of bankruptcy, you will make installment payments to creditors through your bankruptcy trustee over three to five years. 

A Chapter 13 stops foreclosure, repossession, wage garnishment, and creditor harassment once filed. The bankruptcy court immediately issues an “automatic stay” that bars all of your creditors from taking any further collection attempts, freeing you to reorganize and repay your debt under the protection and supervision of the court. Under Chapter 13, you can include your mortgage or car loan arrears, allowing you to pay them over the life of the plan. However, you will need to stay current with the loan obligations of the assets you wish to keep while the plan is in progress.

Chapter 13 Benefits

The benefits of this type of bankruptcy include:

  • You can save your home from foreclosure by catching up on past-due payments
  • You can save your vehicles and other assets from repossession
  • You may be able to reorganize debts to lower payments over time
  • Co-signers and other third parties who share liability can be protected
  • At the end of your payment plan, whatever balances you owe on unsecured debt are discharged

Debts that can be eliminated can include credit cards, medical and dental bills, past-due utility bills, payday loans, and other personal loans. 


Ready to get started? Find out if Chapter 13 is right for you. Contact Kostopoulos Bankruptcy Law for a free case evaluation by phone at (866) 969-7482 or by submitting your details online.