Bankruptcy Overview

Bankruptcy Law in Lansing, Michigan

With over 30 years of experience, Barrett Law, PLLC offers honest assessments of our clients' financial circumstances, knowledgeable advice on the best course of bankruptcy action and when to take action for debt relief. Our firm assists debtors of all income levels who are overwhelmed by financial stress. Dennis Barrett is dedicated to helping his clients manage their obligations and take their lives back from creditors.

credit card debt

Credit cards are probably the most common examples of unsecured debt. Generally, credit card debt incurred prior to the filing of bankruptcy is at least partially dischargeable under Chapter 13 bankruptcy and totally dischargeable under Chapter 7 Bankruptcy. However, credit card companies may wish to file an objection to the full or partial discharge of debt if there is evidence that the card was obtained by fraud or if it appears that the cardholder never intended to reduce credit card debt that has accumulated. READ MORE ON CREDIT CARD DEBT

Mortgage ForeclosureHomeowners are learning it's to their advantage to hire a bankruptcy/foreclosure defense attorney or law firm against the mortgage lenders attorney. It is important for homeowners to understand that if they are about to be sued for foreclosure, or have already been sued for foreclosure not to waste any time in getting to an attorney's office. Barrett Law assists debtors of all income levels who are overwhelmed by financial stress. READ MORE ON FORECLOSURE

Medical Bills

As the cost of healthcare in the United States continues to increase, exorbitant medical bills are one of the most common reasons debtors are driven to file for bankruptcy. Like all unsecured debt, medical bills are completely dischargeable in bankruptcy. Those debtors who file under Chapter 13, however, may have to pay at least a portion of their outstanding medical bills under a payment plan.

Lawsuits

Judgments resulting from lawsuits are completely dischargeable under Chapter 7 Bankruptcy and at least partially dischargeable in Chapter 13 bankruptcy, unless the judgment arises out of criminal activity or an accident that occurred while intoxicated. In both Chapter 7 and Chapter 13 bankruptcies, the judgment must be listed as a debt to be discharged and the judgment creditor must be notified. The judgment creditor then has a chance to object to the debt.

Property Contracts

Debts arising out of leases and other property contracts are dischargeable in bankruptcy, but the debtor most likely will have to vacate the premises. Though filing for bankruptcy may temporarily halt an eviction based on the failure to pay rent, a court will ultimately not impose a tenant who does not pay rent on a landlord.

Personal loans

Outside of student loans, which are almost never able to be discharged, unsecured personal loans are completely dischargeable in Chapter 7 Bankruptcy and at least partially dischargeable in Chapter 13 Bankruptcies. Personal loans that are not reduced to writing are extremely difficult for creditors to enforce in Bankruptcy Court.

Non dischargable debts under chapter 7 and chapter 13

As a general rule, most unsecured debts are totally dischargeable under Chapter 7 and at least partially, if not totally, dischargeable under Chapter 13. However, there are some unsecured debts that are not dischargeable in bankruptcy. Typically, the following debts are not dischargeable:

  • Child Support and Spousal Support Obligations.
  • Tax Debts and other debts owed to the government.
  • Student Loans.
  • Criminal Restitution.
  • Debts arising out of accidents that involve intoxication.


Lansing and Mid-Michigan area residents contemplating bankruptcy can contact the Michigan office of Barrett Law, PLLC for a free initial consultation at 517-694-7920.