What is the difference between Chapter 7 and Chapter 13 bankruptcy?

Chapter 7 discharges most unsecured debts within 3–6 months but may require surrendering non-exempt assets. Chapter 13 lets you keep assets and catch up on mortgage arrears through a 3–5 year repayment plan. The right choice depends on your income, assets, and goals — consult an attorney for advice.

Do I need an attorney to file bankruptcy in Michigan?

Michigan law does not require an attorney to file bankruptcy, and individuals may self-file (pro se). However, bankruptcy law is complex. ClearPath prepares your paperwork; we strongly encourage consulting a licensed attorney about your legal rights and strategy.

What documents do I need to start the bankruptcy process?

Typically: government-issued ID, Social Security card, recent paystubs or benefit letters, last two years of tax returns, bank statements, vehicle title or registration, and any collection notices or lawsuit documents. The intake form provides a complete list.

How does the automatic stay protect me?

The automatic stay (11 U.S.C. § 362) takes effect the moment you file your petition. It immediately stops most creditor calls, wage garnishments, lawsuits, and foreclosures. It is a federal protection — ClearPath cannot invoke or advise on the stay; only the court can.

What is the Means Test?

The Means Test (Official Form 122A) determines Chapter 7 eligibility by comparing your average monthly income to Michigan's median income. If your income exceeds the median, additional calculations apply. We prepare the form from the numbers you provide; we cannot advise on strategies.

How much does it cost to file bankruptcy in Michigan?

The federal court filing fee for Chapter 7 is $338; Chapter 13 is $313 (subject to change). A mandatory credit counseling course costs roughly $15–$50. ClearPath's document preparation fee is separate and disclosed during intake.

What is a 341 Meeting of Creditors?

About 30 days after filing, you attend a brief hearing before the bankruptcy trustee. You answer questions under oath about your petition. In most Chapter 7 consumer cases it lasts less than 10 minutes. ClearPath does not attend or represent you at this hearing.

Can I keep my car if I file Chapter 7 in Michigan?

Michigan exempts up to $3,725 in vehicle equity. If your equity is within that limit and you are current on payments, you may be able to keep it. Vehicle outcomes depend on exemptions, your lender's policies, and your choices — consult an attorney for legal advice.

Bankruptcy Document Preparation

Michigan Bankruptcy Paperwork Help

Non-attorney document preparation for self-filers. We organize your information into the forms the court expects, so you can focus on getting a fresh start.

Important: Clear Path Document Services is a non-attorney document preparation service. We do not provide legal advice and no attorney-client relationship is created.

Choose Your Filing Type

Each filing type uses a different set of court forms.

Chapter 7 Bankruptcy

Non-attorney document preparation for Michigan residents who plan to self-file Chapter 7.

Chapter 13 Bankruptcy

Repayment-plan paperwork preparation for Michigan Chapter 13 self-filers.

Quick Answer

What does a Michigan bankruptcy document preparation service do?

A Michigan bankruptcy document preparation service — like ClearPath Document Services — organizes your financial information into the official court forms required for a Chapter 7 or Chapter 13 filing. We are not attorneys and do not provide legal advice; we prepare the paperwork at your direction so you can self-file in the Eastern or Western District of Michigan.

Key Terms

Chapter 7 Bankruptcy: A federal bankruptcy process that allows eligible individuals to discharge most unsecured debts (credit cards, medical bills, personal loans). A trustee liquidates non-exempt assets; most Michigan filers keep all assets through state exemptions.
Chapter 13 Bankruptcy: A federal reorganization bankruptcy in which the debtor proposes a 3–5 year repayment plan to repay all or part of their debts while keeping assets. More complex than Chapter 7.
Automatic Stay: An immediate federal court injunction that takes effect the moment a bankruptcy petition is filed. It stops most collection calls, lawsuits, wage garnishments, and foreclosures while the case is pending.
Bankruptcy Petition Preparer (BPP): A non-attorney person or company that prepares bankruptcy documents for compensation. Federal law (11 U.S.C. § 110) strictly regulates BPPs; they may not provide legal advice or represent debtors in court.
Michigan Bankruptcy Exemptions: State law protections that allow Michigan filers to keep certain property in a Chapter 7 case, including a homestead exemption, motor vehicle equity, household goods, tools of the trade, and retirement accounts.
341 Meeting of Creditors: A short hearing required in every bankruptcy case, held by the trustee approximately 30 days after filing. The debtor answers questions under oath about their petition. Creditors may attend but rarely do in Chapter 7 consumer cases.

Common Questions

Chapter 7 Bankruptcy — By Michigan County

Local information, courthouse details, and filing guidance for your area.