For those who do not meet the income-based requirements of filing for Chapter 7 bankruptcy, a Chapter 13 action may be a viable option for those dealing with a mounting debt crisis. Generally speaking, a Chapter 13 bankruptcy is often an ideal approach for people who wish to address their debt situation without losing their assets, such as their cars and real estate. Moreover, Chapter 13 bankruptcy stops creditors from harassing you, helps you to come up with a reasonable repayment plan for a fixed period of time, and also, prevents creditors from foreclosing on your home and/or garnishing your wages.
Tulsa Chapter 13 Bankruptcy Requires:
To satisfy the eligibility requirements of Chapter 13 bankruptcy, a debtor must be able to afford to make certain monthly payments to cover their “reorganized” debt. Specifically, an individual’s debt cannot go above the monetary amount set by the U.S. Bankruptcy Code. Once a persona is eligibile, a Bankruptcy Court will review and ultimately approve a person’s plan for repayment. The plan typically lasts from 3 to 5 years.
Chapter 13 Bankruptcy Deadlines:
Overall, it is crucial to realize that before filing for Chapter 13, all applicable filing deadlines must be met. For example, if a person misses a deadline and their case is dismissed by the judge, he or she must wait another 5 months before filing once again with the court. There are also a number of additional requirements that must occur before the finalization of one’s Chapter 13 case. Specifically, each debtor must undergo credit counseling with the court’s pre-approved agents. In addition, there are a number of jurisdictional requirements that must also exist, including that every person must be a resident of Oklahoma for 6 months before filing.
During the Chapter 13 bankruptcy filing process, there is documentation necessary for the court. These include the following:
A Schedules of liabilities and assets
A schedule of income and expenses
A debtor’s financial statement
A certificate establishing that a debtor satisfied his or her credit counseling requirements
A list of all the person’s creditors
The total monetary amount of debt outstanding
A list of a debtor’s monthly costs (including for housing, utilities, food, daycare, etc.)
Bankruptcy Stops Collection Activity:
Once a Chapter 13 petition files, the court then issues an “automatic stay”. This immediately stops creditors from harassing a debtor. It also halts any types of collection actions that they are currently pursuing (such as foreclosure). Furthermore, all of the person’s creditors in his or her bankruptcy papers will receive notification of the pending action. A trustee is then appointed by the bankruptcy court to manage, oversee and conduct an investigation of the debtor’s case. Within fifteen days of filing for bankruptcy, the court will issue to the donor as well as all creditors a Notice of Commencement of Case. This outlines all of the applicable filing deadlines as well as the times and locations of the meetings during the pendency of one’s case.
Chapter 13 Bankruptcy Lawyer in Tulsa:
If youve been living under the constant pressure of creditors we can help. Chapter 13 bankruptcy is for those that dont qualify for chapter 7. Its also there in those circumstances where your at risk of foreclosure. Get your financial life back. You deserve the chance to get back to life without debt.