Understanding Bankruptcy in Michigan
A plain-English overview from a Ypsilanti attorney who explains things like a person, not a textbook.
Bankruptcy is a federal legal process designed to give honest people a fresh financial start. In Michigan — and across Washtenaw County — most personal cases fall into two categories: Chapter 7 (liquidation) and Chapter 13 (reorganization). Which one fits you depends on your income, your assets, and your goals.
Michigan also has its own exemption laws — the rules that decide which property you get to keep. The information below is a starting point, not legal advice. The best next step is a free 15-minute call with Robert.
Chapter 7 Bankruptcy
Liquidation bankruptcy — wipes out qualifying unsecured debt in 3–6 months for those who pass the Means Test.
Chapter 13 Bankruptcy
Reorganization with a 3–5 year repayment plan. Stops foreclosure and protects assets you want to keep.
Bankruptcy Alternatives
Negotiation, consolidation, credit counseling — sometimes filing isn't the right move.
Michigan Exemptions
What property Michigan law lets you keep when you file — homestead, vehicle, retirement and more.
The Big Picture: How Bankruptcy Actually Works
Bankruptcy isn't a moral failing — it's a legal tool created by Congress in 1898 and refined ever since. Roughly 400,000 Americans file every year, and a meaningful share of them are working professionals, small business owners, and retirees who got blindsided by a single event: a job loss, a medical emergency, a divorce, a failed business venture. The federal Bankruptcy Code exists precisely because Congress understood that productive people sometimes need a way to reset.
Filing triggers three things almost immediately: the automatic stay (a federal injunction that stops collection), trustee oversight (a neutral party who reviews your case), and a discharge at the end (the court order that legally erases qualifying debt). Everything else — Means Test math, exemption schedules, repayment plans — is just the machinery that makes those three things happen.
Top Reasons People File in Washtenaw County
Figures reflect general national filing trends; Robert sees the same patterns consistently in Washtenaw County cases.
The Bankruptcy Timeline at a Glance
Bankruptcy Myths Robert Hears Every Week
What to Expect at Your First Call with Robert
The first call is short — typically 15 minutes — and there's no script Robert reads from. You'll talk about what triggered the call (a garnishment notice, a foreclosure date, a lawsuit, or just exhaustion), and Robert will ask a handful of practical questions: roughly what you owe and to whom, your household income, what you own that matters to you. By the end of the call you'll have a clearer picture of whether filing makes sense, which chapter likely fits, and what the next step looks like. You won't be sold anything.
Life After Discharge: The First 24 Months
The day your discharge order is entered, the qualifying debts listed in your case are legally erased. Creditors who continue to call or report the debt as owed are violating federal law. Most clients describe the months that follow as the first time in years they've been able to budget without dread.
General FAQs
Eight of the most common questions Robert hears from new clients.
Ready to Talk? Robert Answers His Own Phone.
Free 15-minute consultation. No gatekeepers, no voicemail maze.
📞 Call (734) 662-1590