Michigan consumers who are facing overwhelming credit card debt may be considering filing for personal bankruptcy. However, many people hesitate because they are unsure about the security of their homes and property. Before proceeding with a bankruptcy filing, it may be wise to consult with an experienced bankruptcy attorney. In order to determine if assets can be protected, the attorney will assess the financial situation. After analyzing the circumstances, he or she will explain the protection offered by a Chapter 7 or Chapter 13 bankruptcy.
There are negative connotations to bankruptcy that are not necessarily deserved. Many people may not even consider filing for bankruptcy, despite the severity of their financial situation. Michigan readers may be interested in how a man who is running for Congress in another state was motivated by his bankruptcy experience. He says his Chapter 7 bankruptcy may serve as a lesson to people with overwhelming debt.
Many Michigan consumers may consider the protection of personal bankruptcy but are unsure which option to choose. Chapter 7 bankruptcy only applies to consumers whose disposable income level falls below a prescribed level. Chapter 7 bankruptcy usually provides debt relief within months, but it involves the liquidation of assets, and only unsecured debts will be discharged. Chapter 13 involves a court approved extended payment plan, and payments have to continue for three to five years, after which remaining balances may be discharged.
A dormant Michigan shopping center, The Village at Knapp’s Crossing in Grand Rapids, filed for Chapter 13 bankruptcy 10 months ago. However, the owner of the property failed to draft a reorganization plan to the court’s satisfaction, and the judge converted the application to a Chapter 7 bankruptcy. The development was intended to be the area’s first lifestyle shopping complex, but reportedly failed from the start.
Many individuals and businesses have fallen victim to the challenging economic climate over the last five years. Michigan residents may remember TIME Magazine’s list of best inventions that was published in 2009. One of the top 50 inventions was a camera that used millimeter waves to see through and into objects. It was expected to make a significant impact on the market. The manufacturers of this ingenious piece of technology recently filed for Chapter 7 bankruptcy.
When business owners in Michigan start experiencing financial problems and suspect that they may not be able to resolve these issues, they may want to be proactive and explore their opportunities under state laws. The protection of personal bankruptcy may afford business owners the opportunity to have a fresh start. However, for the owners of an entertainment center who did not take timely action, Chapter 7 bankruptcy was declared on their behalf.
Many a successful business has fallen prey to the adverse economic conditions of recent years. One such Michigan company was reportedly listed among the top 100 private companies in Birmingham. A toy manufacturer, Summit Products LLC, with its headquarters based in Birmingham's Southside, has recently filed for the protection of Chapter 7 bankruptcy.
An exciting part of being a newlywed couple is choosing furniture pieces for the new home. One such newlywed couple was very disappointed when the items ordered and paid for at a retailer's showroom were not supplied before the retailer filed for the protection of Chapter 7 bankruptcy. They were not the only Michigan clients experiencing such disappointment.
In recent unstable economic conditions, most of us have witnessed successful companies fail as a result of unforeseen adverse circumstances. Michigan readers may recall the involvement of the peanut giant Sunland Inc. in the countrywide salmonella outbreak of late last year. Product recalls proved to be the final nail in its coffin, and Sunland Inc. filed for the protection of Chapter 7 bankruptcy after that.
The recent economic conditions have been a contributing factor to the demise of many businesses. Just as some Michigan companies are finding it difficult to keep their heads above water, two struggling businesses in another state have succumbed to the pressure and filed for the protection of Chapter 7 bankruptcy. Both businesses are reported to have lots of potential, but have been the victims of an unfortunate combination of circumstances.