Michigan Bankruptcy Frequently Asked Questions
The following information includes frequently asked bankruptcy questions. The
answers stated are general in nature and are not intended to apply to every
bankruptcy and/or debt consolidation situation. Each case is different and
carries its own set of circumstances which must be taken into consideration by
competent legal counsel. By contacting the bankruptcy Attorneys Detroit,
Bankruptcy Lawyer, you can receive a personal consultation regarding your
specific legal claim.
Will I be able to rent an apartment or house after I file for
A landlord can legally refuse to rent you an apartment because of a prior
bankruptcy in your credit report. However, if you are presently renting a home
or an apartment, your present landlord will typically renew your lease without
running an updated credit report, and will probably not know that you filed for
bankruptcy. If you are applying for a new lease, you may encounter some
difficulties that can be overcome. Offering to make a larger security deposit
may be enough for a potential landlord to overcome his/her concerns.
Will bankruptcy stop a lawsuit against me?
If you are being sued, we strongly urge you to speak with a debt-relief
Attorney at the Michigan
Bankruptcy Law Office of Walter Metzen and Associates, about filing for
bankruptcy. A bankruptcy filing will stop a lawsuit immediately and prevent your
creditors from placing a lien against your house or garnishing your wages.
Will bankruptcy stop my home from being foreclosed and/or my car from
Bankruptcy can prevent a foreclosure of your house or a repossession of your
car. An "automatic stay " arises by law the instant a bankruptcy is filed. The
automatic stay stops the foreclosure process and prevents any collection
actions, such as repossessions or garnishments. Bankruptcy may also allow you to
consolidate your mortgage arrears or automobile balance, and make payments on
those debts over time through a repayment plan designed by one of our
experienced Bankruptcy Lawyers.
How do I rebuild my credit after filing for bankruptcy?
Although bankruptcy may be legally reported on your credit report for up to
10 years, you can begin to reestablish your credit immediately after your
bankruptcy discharge. Lenders will consider many factors while determining
whether to extend credit to you, but the most important of all factors that they
will consider is your debt-to-income ratio. Based on the credit scoring models
currently used by the credit reporting agencies, a debtor's credit score often
actually improves upon the filing of a bankruptcy because of the elimination of
Who will know about my bankruptcy?
Parties that receive notice of a bankruptcy are your creditors, the
Bankruptcy Court, and you the person(s) filing. Bankruptcy is a public record,
so anyone who wants to try to find out about your bankruptcy could find out
about it. Many people believe that notices of all bankruptcies are printed in
the newspapers, but this is not true.
I only want to file bankruptcy on certain creditors, but not on
others. Is this possible?
No. You are required by law to list all of your creditors, including friends
and family members who have loaned you money. Intentional failure to list a debt
is a serious matter and could result in a denial of your entire bankruptcy
discharge. However, you are not prohibited from voluntarily paying selected
debts after you file for bankruptcy. The
Detroit Bankruptcy Law Office
can explain how you can legally repay any debt you want, after your bankruptcy
is over, on a purely voluntary basis without a reaffirmation agreement.
What documents do I need to bring for my bankruptcy appointment?
In order to prepare consumer bankruptcy papers, a client must bring the
following documents when meeting with their bankruptcy attorney:
- A list of all creditors, including addresses, account / loan numbers,
and the amounts and description of each debt.
- For each secured debt, such as a car loan or home mortgage:
- copy of the latest statement showing the balance due on the debt
- copy of the Secretary of State registration or recorded trust deed
for each secured debt
- Income tax returns for the last two years, including W-2, 1099, and K-1
- Copies of the last two pay stubs or copies of bank statements for the
last 90 days showing the amount and frequency of the client's income.
- A detailed list of the debtor's monthly living expenses, i.e., food,
clothing, housing, utilities, taxes, transportation, medicine, etc.
- If self-employed, copies of monthly profit-and-loss statements for the
past six months.
- Copies of any lawsuits or judgments, regardless of whether the client is
a plaintiff or defendant.
- Copies of any family trusts or prenuptial agreements.
Do I have to go to court?
You must attend a first meeting of creditors. Your Attorney will be with you
at this meeting. This meeting is held in a hearing room used by the bankruptcy
trustees, not in court. The trustee will ask you questions regarding your
bankruptcy filing. If any of your creditors are present, they can also ask you
questions. However, creditors rarely attend this hearing, and if they do, they
rarely ask questions. Your attendance at this hearing is mandatory, and failure
to appear can result in dismissal of your case.
Will bankruptcy get me out of child support or spousal support
No. Under both old and new bankruptcy laws, child support payments and
spousal support payments are not dischargeable in a Michigan bankruptcy
If you or someone you know in Detroit, Michigan or within the surrounding
cities and counties of Michigan, needs debt consolidation legal counsel or the
assistance of an experienced bankruptcy lawyer, contact the Bankruptcy Law
Office of Walter Metzen and Associates, today, at 800-398-3328,
or use the contact form provided on this site to schedule a consultation with an