Do you have mounting debts that are stressing you out and causing you financial stress? Filing for bankruptcy in Oklahoma City could be a solution. Filing bankruptcy in Oklahoma City is just like in most parts of the United States, as it falls under federal law. However, there are specific laws you need to know about what property you can keep during your bankruptcy case.
Check out these items you need to know about filing for bankruptcy in Oklahoma City and getting out of debt.
Debts Bankruptcy Will Wipe Out in Oklahoma City
When you file bankruptcy, many of your bills will be wiped out. This can include your credit card debt, utility bills, medical bills, personal loans, late mortgage payments, and car payments.
However, you cannot get rid of all of your debts. Some types of debts that cannot be discharged are back taxes and child and spousal support payments. It’s important to consult an Oklahoma City bankruptcy attorney to determine which of your debts can be discharged.
Steps In a Bankruptcy Case
There are many steps to complete when filing for bankruptcy. Some parts of the process you will need to complete include:
- Determine what type of bankruptcy you need to file. The most popular types for individuals are Chapter 7 and Chapter 13. There are key differences between the two, so it’s important to work with your bankruptcy attorney to determine which type is best for you – and which type you qualify for.
- Work with your attorney to find out what types of debt can be eliminated through bankruptcy.
- Find out what property you will be able to keep – and what you might lose – during the bankruptcy proceedings.
- Work with your attorney to determine which bills you should stop paying.
- Start gathering your financial documents, including past tax returns, bills, checking account balances, loan balances, and other important paperwork.
- Take a credit counseling course. This is court-mandated, so it’s essential to complete this.
- Attend a 341 creditor’s meeting that will be set up by the court, and will include all of your creditors.
- Complete all other necessary steps as outlined by your attorney.
Property You Can Keep During Oklahoma City Bankruptcy Cases
One of the biggest worries you might have when filing for bankruptcy is what property you will lose throughout the proceedings. You can rest assured – you will likely not lose ALL of your assets. You will be able to keep some of your property through exemptions. You can mark certain items as exempt – those essential items you need to live after bankruptcy. You may not be able to mark luxurious or frivolous items as exempt. If it’s not covered, then you may lose it during Chapter 7 bankruptcy.
In Oklahoma, you must use the state’s exemptions – not the federal list of exemptions.
Some other items to note about exemptions are that if you are filing for bankruptcy with your spouse, you can double the exemption amount. You can also protect your retirement accounts from bankruptcy.
Some common exemptions in Oklahoma can include:
- Homestead exemption: You can exempt your equity in a primary residence as long as it doesn’t extend past one acre in a city, town, or village.
- Vehicle exemption: You can exempt up to $7,500 of equity in your motor vehicle.
- Work equipment: You can exempt up to $10,000 in tools required for your job.
Working with an experienced attorney in filing your bankruptcy in Oklahoma City is the best way to protect your exempt assets.
Contact an Attorney To Help With Your Bankruptcy in Oklahoma City
If you are considering filing for bankruptcy, it’s essential to know what to expect when filing in Oklahoma City. It’s crucial to hire an experienced attorney to help you through the process. Our experts can help you determine the best way to preserve your credit and increase your credit score as soon as possible. Don’t let debt ruin your life. Call (405) 529-9377 for a free case review.