Bankruptcy 101
Click here for online forms and worksheets: Credit Reports, Notice to Individual Consumer Debtors, Non-business Bankruptcy Worksheet, Business Bankruptcy Worksheet.
Click here to see the Bankruptcy Exemption Table.
The hardest part about filing bankruptcy is reaching the decision to do so. Many people are embarrassed by their inability to pay the debts that they have incurred and are frustrated by the call and attepts companies make at collecting. It is important to remember that bad things happen to good people and bankruptcy is often the only alternative. The most common reasons given for filing bankruptcy are divorce, unforeseen and catastophic medical expense and job layoff. On the following pages I have provided answers to the most common questions that clients ask concering bankruptcy. Also, I have included the business and non-business questionaires that I ask my clients to complete prior to opening a file and preparing a petition in bankruptcy. The worksheets look intimidating, but most clients can answer the questions in about one hours time.
After completing the worksheets, contact my office to schedule an appointment to review your case and begin the process of preparing your petition. You will find that the hardest part is behind you. You will be able to tell the bill collectors that you have made a decision to file for bankruptcy relief and you will be able to give them my name and number. What you will find is that the collectors will stop calling and this will provide you with a great sense of relief.
Bankruptcy is a legal proceeding in which a person is seeking alleviation from bills, loans, and credit card debt when they financially cannot pay. Bankruptcy is a federally instituted option for those seeking a fresh start. The United States Bankruptcy code provides different options for those seeking bankruptcy. The two most common are Chapter 7 and Chapter 13. Chapter 7 allows individuals to keep certain property. It is for those who will to be cleared of debt. Chapter 13 allows individuals who can pay a portion of their debt to do so, and to have the rest exempted. Chapter 13 is a form of debt consolidation.
Once a petition is filed, creditors are no longer allowed attempt collection of money. If they continue to call, let them know that you’ve spoken with an attorney. After that, they will usually back off.
Because Oklahoma is a liberal state, not all property will be lost. There are some limitations, but a debtor can keep his or her home, a vehicle, clothes, furniture, and tools used for farm work. Also, retirement funds currently in place are protected.
How long it takes to file bankruptcy ultimately depends on you, but typically a Chapter 7 case discharge can be issued in approximately three months. A Chapter 13 case is paid out over 36 or 60 months.
Starting the process is as simple as calling and scheduling an appointment with Matthew E. Riggin.
