Bankruptcy Facts and How to File
Bankruptcy is a federal law that allows certain people under certain circumstances to reduce or eliminate their debt. The bankruptcy law is contained in Title 11 of the United States Code. As part of bankruptcy law individual states are allowed to either expand or limit bankruptcy rules in an effort to address local concerns. Oklahoma has done this and many would say that Oklahoma has enacted some of the most liberal bankruptcy laws in an effort to protect its citizens.
Where do I File my Bankruptcy:
Some of the most important bankruptcy information Oklahoma is where your case will be filed. Jurisdiction is what controls where your case is filed. Because Title 11 of the Federal Bankruptcy Code controls bankruptcy cases the case is heard in federal court. In Oklahoma there are three different Federal District Courts that your case may be filed in. The courts include the Northern District in Tulsa, the Eastern District in Okmulgee and the Western District in Oklahoma City. As a result, which court you file your case in depends on where you live at the time you file. In order to file a bankruptcy in Oklahoma you must have lived in the State for six months before you can file.
Bankruptcy Information Oklahoma – Different Kinds of Bankruptcy
Chapter 7 bankruptcy in Oklahoma – Chapter 7 bankruptcy is a form of consumer bankruptcy that will forgive a large portion of your unsecured debt. Unsecured debt is that debt that you have not pledged any security for in exchange for the money you borrowed. This includes debt associated with things such as credit cards, medical bills, repossessions, foreclosures and payday loans. Secured debt is that debt that is secured by the assets which was purchased with the money you borrowed. An example of secured debt is your house and your car. To file a chapter 7 bankruptcy you have to qualify. One of the major qualifications is that you don’t make too much money. This is called the means test. Essentially, the means test requires that your income is at or below the median income for a family your size
If you file a chapter 7 you will have the option of keeping those assets that are secured by simply continuing to pay the debt and keeping the assets. As to your house you can keep the house and reaffirm the debt. The same option is available for your car and all other secured assets.
Chapter 13 Bankruptcy in Oklahoma