Is Bankruptcy The Answer?

Filing bankruptcy can be a scary process. However, having a basic overview of Oklahoma bankruptcy can be really beneficial and help to relieve that fear. The following are a few brief facts about this legal concept.

While The US Bankruptcy Code is the primary basis on which all state laws are written for this financial legal relief, the laws do vary from state to state. There are specific issues which can be different among the states. Some of these things include average income and what kind of properties are exempt. This is true, as well, for the state of Oklahoma.

There are several various types of bankruptcy. The numerous kinds are then differentiated by numbers and chapters. This is fairly simple to grasp, because the chapter and number is in reference to a chapter and number within the Bankruptcy Code. There are a lot of chapters, although the following points just cover two typical ones.

One commonly understood form of bankruptcy is called Chapter Seven. This is also referred to as total liquidation, as well. In Chapter Seven, a court trustee is appointed where all relevant property that is not exempt from the state’s law is collected. The property is then sold and the resulting money is distributed among the different creditors, and the remaining debt is cleared.

Many might assume Chapter Seven is a very intimidating concept, because its very description seems scary. However, that is not the case at all. Oklahoma, as well as other states, have provisions in their laws that allow individuals to keep essential property, most specifically their home and one vehicle.

Another common type related to this legal debt relief is known as Chapter Thirteen. This chapter is sometimes called reorganization. This type is targeted to individuals and families, as well, but excluding farmers and fishermen who qualify for another form known as Chapter Twelve. Essentially in this type a payment plan for one’s debts is maintained for an extended period of time, typically five years. A person’s average income and their basic living expenses are utilized to calculate the structure of the plan.

For Oklahoma residents wishing to file, determining eligibility and meeting with a lawyer are important. If a single resident makes less than $38,929, he or she is able to qualify for Chapter Seven. Meeting that mark or surpassing it, they then are eligible for Chapter Thirteen. There exist different income levels for married individuals or married couples that have children, so contact an attorney for specific information on that.

There are a lot of detailed issues related to filing bankruptcy. Oklahoma bankruptcy, however, does not have to be an overly scary concept. Knowing the basic fundamentals to this systems allows for a better understanding of this legal issue.

The author of this article is not an attorney and cannot provide legal advice. For legal advice specific to your circumstances call a bankruptcy attorney in Oklahoma. For additional information on chapter 7 bankruptcy you can call the Debt Line Law Office at (888) Debt-Line.

Acceptions:

Introduction to Bankruptcy Law (West Legal Studies series)Introduction to Bankruptcy Law, fifth edition, is a perfect reference for practicing paralegals and attorneys as well as for paralegal courses in bankruptcy law. This new edition corresponds to the changes in bankruptcy law after enactment of the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA). Material in this edition includes changes in the bankruptcy code and practice, new and revised official and procedural bankruptcy forms, revised bankruptcy rules, and bankruptcy cases that detail the case from initiation of the attorney/client relationship through the closing of the case. The book also includes new flow charts for each type of bankruptcy filing that emphasize the two tracks of bankruptcy; the administration of the bankruptcy estate and the debtor s desire to receive a discharge from as many debts as possible. Other key features are a brief history of bankruptcy law, research aids, alternatives to bankruptcy, a discussion of the role of the various parties involved in the bankruptcy process, and an overview concerning eligibility and the selection of the appropriate bankruptcy chapter under which the case should be filed. The book retains its step-by-step approach to each type of bankruptcy filing so the bankruptcy process is clear and understandable to the reader. Greater emphasis is placed on the paralegal s role in the fact gathering process and the interface with clients, and the concept-example-problem format of provides the opportunity for lively discussion.