Bankruptcy and Foreclosure in Michigan
What it can (and can’t) do
Bankruptcy can sometimes pause actions and create breathing room — but it doesn’t magically make the monthly payment affordable. The clean move is picking the right lane based on your stage + income.
No pressure. Clarity first — decisions second.
Bankruptcy can pause some actions
It doesn’t fix affordability
You still need a plan
Don’t guess the deadline
Chapter 7 vs Chapter 13
Jump to plan →Same word (“bankruptcy”), very different fit. Here’s the practical difference.
Relief / Reset
Often used to discharge unsecured debt. It’s usually not a “catch-up plan” for missed mortgage payments.
- Can create short-term breathing room (timing varies).
- Usually doesn’t rebuild affordability by itself.
Structured Catch-Up
A repayment structure that can help you catch up over time — if income supports the plan.
- Can organize arrears into a payment plan.
- Works best when the monthly math is stable.
Fast Decision Path
Jump to plan →Answer these in order. Your next move becomes obvious fast.
1) Keep the home or exit cleanly?
Bankruptcy doesn’t replace this decision — it supports the lane you choose.
2) Does the payment work going forward?
If affordability is broken, the plan won’t hold long-term.
3) How close is the deadline?
The tighter the clock, the more you need speed + coordination.
4) What’s your clean outcome?
Keep + stabilize, or exit without a bigger credit/housing mess.
Want the cleanest option map?
Tell us your stage + goal. We’ll map the shortest path to control.
FAQ (Quick Answers)
Jump to plan →Short answers — no fluff.
Does bankruptcy automatically stop foreclosure?
Not always. Timing, filing details, and your case facts matter. Confirm with an attorney fast.
What’s the biggest mistake?
Using bankruptcy as a substitute for a plan — instead of choosing keep vs exit and executing quickly.