WHAT IF…

CHAPTER 7

CHAPTER 13

I am behind on my mortgage payments?

You can discharge your mortgage debt, but the mortgage company can foreclose on your home

You can propose a repayment plan that allows you to keep your home

I am behind on my car payments?

You can discharge your car loan debt, but the lender can repossess your car

You can propose a repayment plan that allows you to keep your car

I owe back taxes to the IRS?

Certain types of older taxes can be discharged. Recent taxes and trust fund taxes (such as payroll taxes) cannot be discharged

Certain tax debts must be paid in full in your repayment plan. Some taxes can still be discharged

My income is above the Oklahoma median income for a family my size?

You may not be eligible for Chapter 7 relief unless unusual circumstances exist

Your repayment plan will be based on your ability to repay your debts

I filed for bankruptcy a few years ago?

You are not eligible for Chapter 7 if you received a bankruptcy discharge within the past 8 years

You can repay your debts through a repayment plan. However, if you received a Chapter 7 discharge within the past 4 years or a Chapter 13 discharge within the past 2 years, you can not receive another discharge

I owe mostly medical and credit card (unsecured) bills?

You can discharge these debts (subject to your eligibility for Chapter 7)

These debts can either be paid through a repayment plan or discharged

I am behind on my child support payments?

Chapter 7 does not prevent collection of past due child support, including contempt proceedings

You can repay your past due support debts in your repayment plan. You are required to remain current on continuing support payments

I own property that is not “exempt” (luxury goods, second homes, interests in businesses or investments)

Non-exempt property will be sold and the proceeds paid to your creditors

You can keep your non-exempt property by repaying your debts in Chapter 13

I owe money on student loans?

Student loans cannot be discharged except in cases of “undue hardship”

Student loans cannot be discharged except in cases of “undue hardship.” Student loans are treated like other unsecured debts; you can repay them partially or in full depending on your ability to pay

I owe criminal fines or restitution?

Chapter 7 will not protect you from collection of criminal fines or restitution

Chapter 13 will not protect you from collection of criminal fines or restitution