Bankruptcy Filing: Is It Appropriate for You?
Bankruptcy is not quite a charming and impressive word in the world of finance and economy. Rather, when people first hear the term, it evokes some expression of terror. With the broadened idea and the help of the bankruptcy filing lawyer, people now have become a little comfortable with the term. At least they started treating it as the way to get rid of loan burdens rather than escaping from it.
If you become overburdened with loans and you feel like it is really not possible for you to repay all the loans, there is no point to end up getting alleged by the lenders. In this crisis, a bankruptcy filing can be helpful for you. The rules and laws differ from place to place. If you don’t know how to file bankruptcy in Oklahoma, you need to know the basics of the same at first.
A bankruptcy filing in Oklahoma follows two basic types: Chapter 7 Bankruptcy and Chapter 13 Bankruptcy.
Chapter 7: In this category mainly the consumers’ loans, credit card bills, medical and personal debts are discharged. After filing for Chapter 7 bankruptcy, the trustee takes over all your financial assets and decide how to distribute those to the creditors. Don’t think that everything will be taken from you to repay the debts, the basic things like the house, car and others for essentials for the living will be there and the rest will be distributed. Once your application is accepted, you are free from all debts and no lender will bother you for the payment.
Chapter 13: This one is quite different from the prior one. After you apply for the Chapter 13 bankruptcy, the court will grant you a new debt for the tenure of three to five years. To qualify chapter 13 bankruptcy, you need to earn some amount so that the lenders can retain most of the properties.
As the legal procedures are involved in it, you should not take it lightly. If you can run your living by paying the bankruptcy somehow, you should not leap for it without consulting a lawyer. Based on your situation and the type of loan you have to repay, you can make your call with the help of a professional.
For the details and the further discussion on how to file bankruptcy in Oklahoma, you can fix an appointment with Chriss Mudd and Associates so that you can get advice and professional help both.