Frequently Asked Questions

Attorneys at the Michigan Law Offices of David W. Brown, PLLC listen to their clients and provide answers to many of the questions that trouble them.

• How does the filing process work?
• Will I lose my house?
• Will this be published in the newspaper where everyone will know I’m declaring bankruptcy?
• Will I ever get credit again?
• Will someone come to my house and take everything away?
• Will bankruptcy stop creditors from hounding me?
• In a Chapter 13 bankruptcy, who sets the dollar amount that goes into the plan?
• What happens at bankruptcy court?

When you see no way out, contact the Law Offices of David W. Brown, PLLC

Bankruptcy does not have to keep you in the dark. With thousands of cases successfully won, the consumer bankruptcy litigators at the Law Offices of David W. Brown, PLLC show you the light at the end of the tunnel.

How does the filing process work?

The U.S. Bankruptcy Court for the Eastern District of Michigan approves a set of forms to file for bankruptcy. The forms include the petition, schedules, statement of financial affairs, statement of intentions, social security declaration, and other documents, depending on your circumstances. (Click here to access forms.) You and your attorney, if you choose to use an attorney, list all your assets, debts, and recent financial history. If you are filing for Chapter 13, you also file a plan of reorganization and additional documentation related to the plan. All forms are filed with the bankruptcy court.

Once you file, your creditors cannot initiate or continue collection on your debt without getting a bankruptcy order.
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Will I lose my house?

You may actually be at greater risk of losing your home if you do not file for bankruptcy. Chapter 13 bankruptcy can protect you and your home even if it is in foreclosure. Michigan exemption laws also play a role, so it is best to consult a bankruptcy attorney to completely understand your risks.
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Will this be published in the newspaper where everyone will know I’m declaring bankruptcy?

Although bankruptcy filings are public records, only the bankruptcy court, your creditors, and the IRS receive notification of your bankruptcy. Credit bureaus record your bankruptcy, however, and it remains on your credit record for ten years.
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Will I ever get credit again?

Maybe. The decision whether to grant you credit in the future is strictly up to the creditor and varies from creditor to creditor. There is no law that prevents anyone from extending credit to you immediately after the filing of a bankruptcy, but creditors are not required to extend you credit.
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Will someone come to my house and take everything away?

Filing bankruptcy can protect your home and other assets from seizure, although many factors play a role. In general, Chapter 13 allows you to keep your assets during the repayment plan period. Your bankruptcy attorney can explain the risks to you and recommend the best course of action to keep your assets.
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Will bankruptcy stop creditors from hounding me?

Once you have filed your bankruptcy documents, all creditor actions against you have to stop. By law, creditors cannot initiate or continue any lawsuits, garnishments against your wages, or telephone calls to demand payment from you.
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In a Chapter 13 bankruptcy, who sets the dollar amount that goes into the plan?

When you file for Chapter 13, you must file your repayment plan along with your petition or within 15 days of filing your petition. Your bankruptcy attorney, such as an attorney in the Law Offices of David W. Brown, PLLC, assists you with preparing your schedule and your repayment plan based on thorough analysis of your previous financial history and bankruptcy law. The court then must approve your submitted plan.
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What happens in bankruptcy court?

Administrative work outside the court dominates the bankruptcy process. Your personal involvement in a Chapter 7 or Chapter 13 case with the bankruptcy court is probably limited unless a creditor raises an objection to your bankruptcy. You file your papers with the court and pay the court a filing fee, which you can pay in up to four installments. In Chapter 13, the bankruptcy judge holds a confirmation hearing and decides whether your repayment plan is feasible. The judge also determines whether the plan meets Bankruptcy Code confirmation standards.
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