Some Frequently Asked Questions about Bankruptcy in Rochester Hills
Curious about whether filing for bankruptcy could be for you? If you are not sure that debt settlement is the best way for you to address your financial troubles, consider bankruptcy. Almost any person or business that owes money can file for bankruptcy.
If you are considering filing for bankruptcy because you need a fresh financial start in either a personal or professional capacity, Randall L. Shepard can help you start over the right way. He can assist you in assessing the exact nature of your problem and forming a plan of action that can best serve your specific interests.
Bankruptcy has its own court system, laws, and processes. Whether you are experiencing stressful financial situations such as wage garnishment, refinancing, or debt repayment difficulties, or if you have questions about chapters 7, 11, or 13 of the bankruptcy code, you will find Randall L. Shepard full of smart, helpful, and friendly counsel.
In financial matters, speed is of the essence—when a debtor declares bankruptcy, creditors need to act quickly. Our extensive knowledge of the field can help settle your affairs promptly.
What are the similarities and the differences among chapter 7, 11, and 13 bankruptcy?
Each of these forms of bankruptcy can help you determine:
- How to eliminate bills
- How to stretch out debt repayment
- Which possessions you can keep
Chapter 7 is a liquidation— you sell off your assets completely and a court divides the assets among your creditors. (Generally, the court allows you to keep your house and car. Pending payments are not included in the bankruptcy.) Chapter 7 is available to businesses and individuals.
Chapter 11 can help you keep your business running. You restructure your business finances and reduce your debt by paying off creditors over time.
Chapter 13 is primarily for people who are not able to make credit card payments. If you can show income cash flow, Chapter 13 can help you secure your debt and pay down the outstanding portion over three to five years.
Can individuals or businesses file chapter 11 in Rochester Hills and areas of Michigan?
Chapter 11 is not the first choice for people who are filing for bankruptcy. Big businesses use chapter 11 to reorganize their finances. Individuals who have too much income or too many assets, or who have debts that fall outside the laws outlined for chapter 13 may want to consider chapter 11.
Filing for chapter 11 means a business will—with help from a committee from the U.S. Trustee branch of the Justice Department—restructure finances and infrastructure to hopefully make more money. The committee draws up a plan that must be approved by the creditors, shareholders, and note holders. Such approval might be time consuming and complicated, and so chapter 11 is not usually the first solution for businesses filing for bankruptcy.
Speak to our Rochester Hills bankruptcy attorney at law Randall L. Shepard at 248-841-8772 or use our online form and contact us today!