What are the differences between filing for Chapter 7 and Chapter 13 bankruptcy?

Filing for bankruptcy in Oklahoma can be a difficult decision, as you will need to decide which type of bankruptcy is most appropriate for your situation. The two most common types of bankruptcy are Chapter 7 and Chapter 13. Chapter 7 bankruptcy is the fastest and simplest form of debt relief. It will usually allow you to discharge your unsecured debts in about three months or less. To file for Chapter 7, you will need to provide an income statement that shows that your income is below the median income in Oklahoma and you must have a limited amount of assets. Chapter 13 bankruptcy allows you to keep your property while creating a repayment plan to pay off your debts. During this repayment plan, you will pay off your debts over 3 to 5 years. You will need to make regular payments to the bankruptcy court that will be used to pay off your creditors. After your repayment plan is complete, your remaining debts will be discharged. The biggest difference between Chapter 7 and Chapter 13 is the amount of time it takes to complete the process. Chapter 7 takes months to complete while Chapter 13 may take years. Additionally, Chapter 7 allows you to discharge your unsecured debts while Chapter 13 allows you to keep your property and structure a repayment plan. Depending on your financial situation, one option may be more beneficial than the other.

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What are the differences between filing for Chapter 7 and Chapter 13 bankruptcy?

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