More New Tariffs Announced
On April 2, 2025, the president announced that he had signed an executive order that imposes sweeping new tariffs on imports. This shocked the world and swiftly spurred threats of retaliation and demands for talks as industries scrambled and global stocks tumbled. The administration has declared an “economic emergency” to bypass Congress to pass these long-threatened “reciprocal” tariffs which declare a 10% baseline tax on imports from all countries and higher rates for dozens of nations that run trade surpluses with the U.S. While many Americans appreciated an initial bump in the stock market when the president was first elected, since then, American stock prices have been on the decline. Gas, grocery, and a wide range of products prices have continued to rise. If you, like many Warren residents, have already suffered financially over the last few months or longer and are worried about losing your home, vehicle, family farm, or family fishing operation, a Warren, MI bankruptcy lawyer may be able to help prevent this from happening.
Trump Talked Tariffs In Warren In 2024
As some of you may remember, during a campaign town hall at the Macomb Community College Sports & Expo Center in Warren back on September 27, 2024, Trump told the crowd of voters gathered there, “We’re going to bring the automobile business back to this area…” (Allard, 2024, para. 4) and if elected, companies that want to do business in the U.S. will have to make their products in the U.S. He blamed China and Mexico for why the U.S. has been losing companies that make our cars for many years. He said, “We’re going to be using tariffs very, very wisely,” (Allard, 2024, para. 4). With the recent signing of his executive order that imposes a 34% levy on goods from China, along with the one he signed back on Feb 1, 2025, that imposed a 25% tariff on imports from Mexico – the jury is still out on whether he is using tariffs “wisely,” because Americans are already seeing an increase in the price of cars and other manufactured products. With retaliation from countries the U.S. depends on for their imports of foods and products, will come continued increases in the cost of living in the U.S.
Filing For Bankruptcy Now May Help Your Financial Future
Now that tariffs are here, many people have and will suffer negative financial impacts- and not just people who want to buy cars. Unfortunately, no matter which way you do the math, it will likely be quite some time before the economy improves (if it ever does). But thankfully there are ways to protect yourself financially.
Benefits Of Bankruptcy
If you anticipate defaulting on your home, car, or asset debts during these challenging times and uncertain financial future, you may benefit from filing for bankruptcy to protect yourself and your family and to help ensure that you have income that can maintain your basic needs. Many people are surprised to find out that unlike Chapter 7 bankruptcy certain types of bankruptcy allow individuals and some farmers and fishermen, to avoid asset liquidation and foreclosure by working out feasible repayment plans.
Chapter 7 Bankruptcy
Chapter 7 bankruptcy is a legal process in the United States that allows individuals or businesses to eliminate most or all of their debts. It’s often called “liquidation bankruptcy” because a court-appointed trustee may sell non-exempt assets to pay creditors. Most unsecured debts, like credit card bills or medical expenses, can be discharged, meaning the debtor is no longer legally required to pay them. The process typically takes a few months and offers a fresh financial start, though it significantly impacts credit. Chapter 7 is best suited for those with limited income and no realistic way to repay their debts.
Chapter 12 Bankruptcy
Chapter 12 Bankruptcy is for people who are designated as “family farmers” and “family fishermen” and who have a regular income. It allows them to reorganize their debts while they continue their operations. It typically gives them three to five years to repay all or part of their debts.
Chapter 13 Bankruptcy
Chapter 13 bankruptcy allows individuals with regular incomes to reorganize their debts and propose a repayment plan to creditors to avoid having to sell their assets such as homes and vehicles, to repay their debts. This allows people who are in over their heads with debt to propose a plan to the court to repay their debts over a three to five-year period.
Tariffs Are Here And We Are Here To Help
Tariffs are here and Gudeman Law Firm is here to help people protect their finances during these challenging and uncertain financial times. Our highly skilled and experienced team of attorneys has helped many Southeastern Michigan individuals, families, and businesses understand and realize options for debt relief plus many other legal issues. If you are tired of feeling like you have no way out of your debts and are looking for relief that allows you to hang onto your assets, contact us today for a no-obligation consultation.
Reference List:
Allard, Maria (2024, September 28). Auto industry message drives Trump town hall. C&G Newspaper [https://www.candgnews.com/news/auto-industry-message-drives-trump-town-hall-6615]
