Chapter 13 Bankruptcy rules in Oklahoma are much different than chapter 7. Bankruptcy is a great weapon you can use to reduce and eliminate out of control debt. Each year thousands of people file bankruptcy cases across our great country. People and businesses use this option as a means of regaining control of their finances. What most of these people find out is that once you file, the crushing debt that’s causing you the sleepless nights is eliminated almost like it never happened.
Most people prefer to file a Chapter 7 or fresh start bankruptcy. However, depending on your situation a Chapter 7 bankruptcy may not be your best option. Your circumstances may force you to choose to file a Chapter 13 bankruptcy. For example, you may make more money than Chapter 7 allows when filing. Or, you may be trying to protect your home from foreclosure.
Filing a Chapter 13 Bankruptcy
To begin you and your attorney will gather the required information. You must identify all your assets and all your debts. You will have to provide documents such as 4 years of tax returns, vehicle titles, bank statements, pay stubs, and a deed to your house. Once the information and documents have been accumulated, your attorney will file the petition, schedules and statement of financial affairs with the bankruptcy court. Unlike in a Chapter 7, in a Chapter 13 you must also file a proposed repayment plan.
Repayment Plans
Chapter 13 requires a payment plan. Our attorneys will help with this. The repayment plan is usually three (3) to five (5) years long. The plan focuses on paying your secured and priority claims first. The plan also provides for payment of unsecured debts, but may only pay a percentage of unsecured debts. The court must approve your repayment plan and your budget. When you file your Chapter 13 bankruptcy the court appoints a trustee. The trustee will work with your attorney to develop a proper plan. You will make your plan payments to the trustee. Your first payment is due 30 days after you file your bankruptcy. If you fail to make your payments the trustee will file a motion to dismiss your case.
The Effect of Filing a Bankruptcy
Chapter 13 Bankruptcy Rules require that you file your Chapter 13 bankruptcy in federal court. Immediately upon filing you get the benefit of the protections that come with filing bankruptcy. This triggers the automatic stay and any and all collection efforts against you must stop. This includes law suits, garnishments, foreclosures and other collection efforts. A Chapter 13 bankruptcy requires the creditors to accept a repayment plan of your original debt and any amounts past due. This is how a chapter 13 bankruptcy can protect you from a foreclosure.
Wagoner Bankruptcy Near You
Filing Bankruptcy is a real great way to get past unreasonable debt levels. The process of filing starts out with high anxiety but ends in great relief. It’s a process that’s been utilized by hundreds of thousands of Americans over many years. At the end of the day its kind is straight forward. You either will file a chapter 7 or a chapter 13 bankruptcy. From there, the process is very mechanical but in either case most of your debt is gone or restructured. If you live in Wagoner County or near by you will file your case in the eastern district bankruptcy Court. Need help understanding the Chapter 13 Bankruptcy Rules……Get a free consultation 918-283-7394
