Each year, millions of Americans decide to file for Chapter 7 bankruptcy. They do this in order to free themselves from oppressive debt. Those
who consider filing bankruptcy are generally struggling to maintain payments on substantial debts. Often, the decision to file comes at a point when an individual can no longer handle the harassing phone calls from creditors and they can no longer pay their bills. bills. If you are struggling with debt, behind on your home or car loan, credit card payments, or facing foreclosure, bankruptcy may be a viable option for you. For Bankruptcy information chapter 7 bankruptcy read on or call our bankruptcy law firm today.
The following is a list of questions that can help you determine whether Oklahoma Chapter 7 bankruptcy is the right solution for you:
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Are your debts secured or unsecured?
A thorough assessment of your debts is one of the most important starting places for anyone considering filing for Chapter 7 bankruptcy in Oklahoma. Not all debts are dischargeable in Chapter 7 bankruptcy. If your debts are mostly non-dischargeable, a Chapter 7 bankruptcy may not be your best option. The following debts generally are non-dischargeable in a Chapter 7 bankruptcy:
- Student loans
- Child support
- Alimony
- Income taxes
- Some court judgments, such as those arising from deaths or injuries caused by driving while intoxicated
- Some debts incurred for the recent purchase of luxury items
Additionally, a bankruptcy judge can declare certain debts non-dischargeable in the event the creditor objects to the discharge. These debts include:
- Debts fraudulently incurred
- Debts arising out of divorce, either my decree or settlement
- Debts that involved the malicious or willful injury to another person’s property
- Debts incurred due to theft or embezzlement
It is imperative that you enlist the assistance of a bankruptcy attorney to examine your entire financial picture, including your debt portfolio, so that you obtain a clear picture of whether bankruptcy will help you.
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Are you judgment proof?
In order for most unsecured creditors to seize your property or garnish your wages, they must first obtain a court judgment. Exceptions to this general rule include collections for child support, student loans, and taxes. If your debts are largely unsecured and will require a judgment, the next thing you should consider is whether you have income or property that creditors are capable of seizing. A certain portion of your wages, some income, and some personal property is exempt from seizure. If creditors are unable to collect on their judgment, you are essentially judgment proof.
However, even those that are judgment proof may benefit from bankruptcy in order to gain a fresh financial start. Your attorney can explore your options with you more fully.
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What assets could you lose in a Chapter 7 bankruptcy?
For some people, the decision to declare bankruptcy hinges on what property you may lose by doing so. In Oklahoma, entitles you to keep a considerable amount of assets even if you declare bankruptcy. This includes your homestead. You could, however, lose some assets. Your bankruptcy attorney knows what assets would be protected in the event you file for Chapter 7 bankruptcy.
Free Bankruptcy Information Chapter 7 Bankruptcy in Tulsa:
The Tulsa, Oklahoma Bankruptcy Attorneys at South Tulsa Bankruptcy Law Office want to see each and every client attain financial success. We will evaluate your assets, debts, and income to determine whether Chapter 7 bankruptcy is an option for you. We’ll provide you with a full explanation of both the benefits and drawbacks to declaring Chapter 7 bankruptcy. With our assistance you can be assured that you made the most informed decision possible. Contact us today to schedule your free consultation.
