Consumer Bankruptcy in Tulsa Oklahoma

Consumer Bankruptcy | South Tulsa Bankruptcy Lawyers

The decision to file either consumer bankruptcy or business bankruptcy is not one that people arrive at easily. Let’s face it — sometimes unpredictable and uncontrollable things happen. Its at times like this that the services of an experienced bankruptcy attorney become necessary.

Individuals and businesses alike can file bankruptcy. An example is that earlier this year, an Oklahoma City retirement home filed for Chapter 11 business bankruptcy. This occurred after receiving a $15.1 million judgment against it. The business will remain open and operate for the duration of the bankruptcy. This is true even, although it is still not clear whether or what portion of the judgment it will have to pay.

Bankruptcy is not a “one-size-fits-all” solution. Many consumer bankruptcy cases and businesses are able to sort through their financial difficulties and come to agreements with their creditors without having to file. Sometimes this isn’t possible, either because the creditor is uncooperative or the debt is so great that it appears to be hopeless.  Both consumer Bankruptcy and business bankruptcy provide options that allow you to put debts behind you.

There are six different types, or Chapters, of bankruptcy. The most common forms of bankruptcy for individuals of average means are Chapter 7 and Chapter 13. Chapter 7 accounts for about 65% of all consumer filings. Many businesses also file for Chapter 7. This happens when the weight of their debt makes it impossible to continue operations.

Chapter 7 Consumer Bankruptcy in Tulsa Oklahoma:

A Chapter 7 consumer bankruptcy usually lasts from three to six months.  This is called a “liquidation” because some of your non-exempt property may be sold by the bankruptcy trustee to repay your debt. Any unsecured debts (debts for which exists no security, or collateral, such as a car or house) are dischargeable or eraseable. Credit card debt and medical expenses are typical types of unsecured debt. Each state has property exempted from liquidation in the bankruptcy. The state exemptions include your home, cars and more. Also protected is a motor vehicle up to $7,500, and other specific personal property.

In order to file qualify you must meet certain financial criteria outlined in the U.S. bankruptcy Code. This is means testing. Generally it demonstrates that you make at or below the median family income. If this is the case you probably qualify.

If your income is too high for a Chapter 7, you will most likely use a Chapter 13. However, if your secured debt exceeds $1,149,525, or your unsecured debt exceeds $383,175, you cannot file Chapter 13, but may have to use Chapter 11. The amount you would have to pay depends on your earnings, the amount of the debt, and the amount your unsecured creditors might have received had you filed Chapter 7. In Chapter 13, you can choose to keep your property which serves as security for a loan if what is owed through the bankruptcy is payable.

Do I Need a Consumer Bankruptcy Attorney in Tulsa Oklahoma:

The federal bankruptcy laws are complex. If you make a mistake in your filing, you can have your case dismissed. If you are being pursued by creditors, you could be subject to liens, wage garnishments, and other actions that can destroy your ability to function financially. Get the best protection you can by consulting with a team of capable Tulsa Bankruptcy Attorneys today from South Tulsa Bankruptcy Lawyers.

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