Bankruptcy should not be taken lightly and it should be used as a last resort. Because bankruptcy can have lasting effects on your credit score, it’s important to consult with an experienced attorney at Marty Martin Bankruptcy Law before filing for bankruptcy in Oklahoma. This guide on how to file for bankruptcy in Oklahoma will walk you through each step of the process, making it easier to file for yourself or letting you know when it’s time to seek legal counsel.
What Is Chapter 7 Bankruptcy?
Chapter 7 bankruptcy is a liquidation proceeding in which the debtor’s nonexempt assets are sold by the trustee and the proceeds are distributed to creditors. The debtor is then discharged from most debts.
Different Types of Bankruptcy
Chapter 7 isn’t the only type of bankruptcy that someone can file for. There are actually a few other bankruptcy types that either an individual or a company can file for too. These bankruptcy types vary in usage as some are for municipalities, companies, certain organizations, businesses, and other entities. Bankruptcy overall is a great way for either individuals or companies to settle their debts and get out of the financial troubles that they find themselves in. It’s important to understand the different types of bankruptcy and which ones are for individuals and which ones are for entities like companies or municipalities. Keep reading to learn more about bankruptcy and how to file bankruptcy in Oklahoma from an experienced law firm.
Chapter 13 Bankruptcy
Chapter 13 is similar to chapter 7 in one important way. That way is that this bankruptcy type, like chapter 7, is typically filed by individuals. They differ though in that chapter 7 has someone liquidate assets to pay back creditors and chapter 13 puts someone on a repayment plan to pay back their debts. Chapter 13 is a good way for individuals to keep their assets, like a house or car, and still be able to repay their debts with a monthly plan. This bankruptcy type could be a great option for someone who wishes not to have assets liquidated and would rather be put on a repayment plan. Contact Marty Martin Bankruptcy Law today for assistance on how to file bankruptcy in Oklahoma and to learn more about the bankruptcy process itself.
Other Types of Bankruptcy
There are other types of bankruptcy that a business may file for. Chapter 11 bankruptcy is a way for businesses or big corporations and organizations to remain in business while they repay their debts. They will be placed on a repayment plan to repay their creditors while still being allowed to operate the business or company. Many large companies have gone through this process. Another bankruptcy type that is filed by an entity like a municipality or school district is chapter 9. This bankruptcy type serves as a way for municipalities or school districts to repay their debts while still operating the district or municipality. A repayment plan will be established by creditors to ensure that a realistic financial decision for repayment is established.
How a Lawyer Helps
A lawyer can offer their attention to bankruptcy issues. Whether it’s a business filing for bankruptcy or an individual, a lawyer understands how to navigate bankruptcy and the different twists and turns that may accompany this predicament. With their experience and knowledge, they can help negotiate with creditors and help their clients to have a more favorable repayment plan that is achievable. A lawyer can also show you how to file bankruptcy in Oklahoma and offer their advice on which bankruptcy type is right for you. Contact Marty Martin Bankruptcy Law today for assistance with your potential bankruptcy and to learn more about how we can help.
Initial Meeting With An Attorney
First, schedule an initial meeting with an attorney. During this meeting, you will discuss your financial situation and the different types of bankruptcy that may be available to you. The attorney will also answer any questions you have about the process. You should not sign anything before this meeting. If it is determined that a Chapter 7 bankruptcy is right for you, the attorney will help you get all the necessary paperwork completed in time for your court date.
Confirming Eligibility For Filing
In your meeting with your attorney, they will help confirm your eligibility. In order to do this, you’ll need to take a means test. The means test will help to determine if your income is low enough that you are eligible to file for Chapter 7 bankruptcy. If it is, you will be able to move on to the next step.
The next step on how to file for bankruptcy in Oklahoma is to attend a credit counseling session with an approved provider. This must be done within six months of filing. During the session, you’ll receive information about alternatives to bankruptcy, your rights and responsibilities, and a budget analysis.
Completing Necessary Forms And Submitting Documents
After meeting with an attorney, and taking the means test, you will need to complete the necessary forms. These forms will require information about your assets, debts, income, and expenses. Once you have completed the forms, you will need to submit them to the bankruptcy court. You can do this by faxing or mailing the documents to the bankruptcy court in your area. You may also be able to file these documents electronically.
Getting Notified Of Discharge
You will be notified by the court of your discharge date. The notice will be sent to the address you have on file with the court. Once you receive your notice, you can begin rebuilding your credit. You can also start the process of reestablishing financial stability. Get a job and make sure that your new employer reports your earnings to the credit bureaus. If you are self-employed, make sure that you keep good records and pay all of your bills on time. Pay off any outstanding debts as soon as possible so that they don’t become collector accounts which negatively affect your credit score for years after being settled.
Congratulations on completing the bankruptcy process! Here are a few tips to help you get back on your feet after the discharge:
- Keep up with payments.
- Stay in contact with creditors.
- File taxes as required.
- Don’t try to borrow money from friends or family.
Contact an attorney at Marty Martin Bankruptcy Law today for help on how to file for bankruptcy in Oklahoma today.