Why Select Chapter 7 for Bankruptcy?

Chapter 7 bankruptcy is the most popular chapter because it is the most comprehensive form of bankruptcy. It is also the easiest to file with the court. Most, if not all, debt is discharged, leaving people with a fresh start. A free consultation with a bankruptcy attorney is the best way to start the process. It is important to understand all the requirements, implications, and consequences of filing bankruptcy to make an informed decision about filing. The attorney can explain conditions of qualification and help determine the best chapter to file.

Qualifications

There are a few minimum qualifications for filing Chapter 7 bankruptcy in the State of Oklahoma. The first is a residency of at least six months before filing. A financial means test is conducted to determine eligibility as well. The size of the family and the total income are compared to the median family income in the state. The income has to be either at or below that median level in order to be able to file. If filing for the second time, eight years must have past since the first filing.

What Can Be Kept?

Details of what can be kept and what can be discharged in the bankruptcy process are determined by each state. Oklahoma allows people to keep many possessions when filing for Chapter 7. Examples include a home, vehicle, retirement plan, tools of a trade, personal belongings, and certain portions of a family farm. The attorney will be able to review the entire list with clients during the initial consultation. Families do not have to lose everything to start over again.

Which Debts are Discharged?

The purposes of filing bankruptcy are to discharge as much debt as possible, relieve the stress of constant phone calls from creditors, and eliminate the threat of wage garnishments. Filing can also save people from losing their homes or vehicles. Foreclosures and repossessions can be discharged in Oklahoma, as well as some federal and state back taxes owed. Credit card debt, medical bills, and payday loans can be discharged. If an insurmountable debt is becoming debilitating, go to tulsabankruptcylawyers.net/ to explore possible bankruptcy solutions and to set up a free consultation.