Oklahoma Bankruptcy Questions
What is Oklahoma bankruptcy?
Bankruptcy is a legal declaration of an inability to pay debts. It is one of the most common legal procedures in the United States.
What is the purpose of Oklahoma bankruptcy?
The purpose of bankruptcy is twofold; first, it allows people a “fresh start” by relieving most of their debts and two, it gives creditors opportunity to reclaim as much debt as is reasonably possible.
What is Chapter 7 Oklahoma bankruptcy protection?
Chapter 7 bankruptcy protection is a court-ordered hold on all assets and property. An agent of the court, called a trustee, will determine what property can be liquidated in order to satisfy any outstanding debts.
If I file for Chapter 7 Oklahoma bankruptcy protection, what can the court take to satisfy my debt?
The laws regarding the seizure of property vary from state to state. In Oklahoma, creditors cannot seize:
• Real Property: Real property or mobile home, unlimited value up to 1/4 acre, otherwise up to $5,000 for up to one acre in city or town and up to 160 acres elsewhere
• Personal Property: Books, one firearm, pictures and portraits; clothing up to $4,000; motor vehicle up to $3,000; enough food to last one year; furniture,; health aids,; farm implements, tools, books and business equipment up to $5,000 total; two bridles and two saddles; burial plots; 100 chickens, five diary cows and calves under six months, ten hogs, two horses, 20 sheep and feed to last one year; personal injury and wrongful death recoveries (not punitive damages) up to $50,000 total
• Insurance: Assessment or mutual benefits, Fraternal benefit society benefits, Funeral benefits prepaid & placed in trust, Group life policy or proceeds, Limited stock insurance benefits
• Alimony and child support
• Pensions: County employees, Disabled veterans, ERISA-qualified benefits, Firefighters, Law enforcement employees, Police officers, Public employees, Tax exempt benefits, Teachers
• Public Benefits: Crime victims’ compensation, Social Security, Unemployment Compensation, Worker’s compensation
What is Oklahoma Chapter 13 bankruptcy protection?
Chapter 13 bankruptcy protection is a court ordered reorganization of finances arranged to compensate creditors for any outstanding debts. Debtors typically have between three and five years to pay out this negotiated settlement.
Do I need a lawyer to file a Oklahoma bankruptcy petition?
Legal counsel is always advised when dealing with the justice system, and bankruptcy cases are no exception. Without someone working explicitly on your behalf, creditors may take advantage of your situation.