Oklahoma Debt Relief
16 MIN READ
Published April 04, 2023 | Updated October 02, 2023
In a Nutshell
When it comes to debt relief in Oklahoma, residents have several options that can put them on a fast track to becoming debt free again. While our company, TurboDebt, is one of the top-rated options for residents throughout the state, you can take advantage of several debt relief solutions.
Debt, especially credit cards, can become a major stress factor in many Americans’ lives. From Tulsa to Oklahoma City and down to Tishomingo, TurboDebt offers effective Oklahoma debt relief programs to help you start paying down debt and rebuild your savings. In this article, we'll look at what options exist for Oklahoma residents to achieve debt relief, such as debt negotiation and settlement.
Additionally, we’ll also show key debt statistics within the state, examine common debt relief and financial hardship questions, and share financial hardship resources available to individuals in need.
Debt Relief in the Great State of Oklahoma
Finding debt relief in Oklahoma can be a challenging and overwhelming process for those struggling with debt. Thankfully, there are many programs and options in the state for both individuals and business owners.
Some of the top ways to get debt relief as an Oklahoma resident include debt settlement, consolidation, bankruptcy, and credit counseling. Out of these options, we see a lot of individuals take advantage of debt settlement when a borrower negotiates to pay a lump sum that is less than the total amount they owe to a lender.
How Does Debt Relief Work in Oklahoma?
When your credit score gets too low, debt collectors keep calling, or you're struggling with late fees, it’s time to seek real debt solutions. Enrolling your outstanding balances with the help of debt-relief companies typically involves answering a few questions about your financial situation to get started.
After initially meeting upfront with a debt management counselor or specialist through a free consultation, you'll get a clearer picture of how to handle your personal finances to eliminate your debt. This part of the process usually includes looking at your credit report, medical bills, credit card statements, personal loans, or any other outstanding debts.
Together, you'll make a debt management plan and create a payment plan all parties agree to. After that, making affordable repayments and getting on the path to becoming debt free will become much clearer.
Debt & Finance Statistics: Oklahoma
As you may know, oil production is vital to Oklahoma’s economy. It’s so important that Oklahoma is the only state in the nation with an oil well under its capitol building!
Oklahoma’s unemployment numbers sat at 2.9% as of April 2023 compared to the nation’s 3.4% unemployment rate.
Yet while these figures are somewhat mixed, the COVID-19 pandemic and inflation left many Oklahoma residents with monthly payments on unsecured debt that they simply cannot afford. But help and debt management solutions are out there. TurboDebt offers debt management services to help you start rebuilding wealth and pay down high levels of outstanding debt.
Average Consumer Debt
Oklahoma residents owe an average consumer debt of $70,557. This figure comes from totaling existing auto and student loans, credit card debt, and mortgages. When compared to the national average consumer debt of $101,915, Oklahoma's average is significantly lower. It's also worth noting that Oklahoma has a lower cost of living than many other states, which can have an impact on the amount of consumer debt that people accumulate.
Despite this, many Oklahomans are still in debt and may need to look into debt relief options in order to regain control of their finances.
Credit Card Debt
The average amount owed on credit cards by Oklahomans is $5,428. This falls just below the rest of the nation’s average credit card debt, at $5,589. Credit card debt can be a significant financial burden for many people, as high-interest rates and fees make it difficult to repay balances. There are several debt relief options available in Oklahoma if you're struggling with credit card debt.
Auto Loan Debt
Oklahoma drivers carried an average of 24,317 in auto loan debt in 2021. The cost of owning or leasing a vehicle has risen dramatically in the past few years, with prices averaging over $20,000 for the first time ever in 2021.
Mortgages make up the largest portion of household debt in Oklahoma. However, Oklahoma residents enjoy much lower mortgages than the rest of the country. They have one of the nation’s lowest mortgage debts at $155,014.
Student Loan Debt
On average, Oklahoma’s college graduate population owes $31,973 in federal student loans to their various schools. This is below most other college grads in the US, who owe $35,287 on average.
According to data from the American Bankruptcy Institute, there were 5,143 filings for bankruptcy in Oklahoma in 2022, the majority of which were Chapter 7 bankruptcy (4,265) or Chapter 13 Bankruptcy (858), the most common filings for individuals.
Average Income and Employment
The average Oklahoma resident earns $30,976 in income, with a median household income of $56,956. Oklahoma’s minimum wage is in line with the federal minimum wage at $7.25 an hour.
Oklahoma has the eighth-lowest average credit score in the country at 690. This is 20 points below the national average of 710. Earning a good credit score can help you secure loans at lower interest rates and find better options with lenders.
According to the Insurance Information Institute, Oklahoma residents reported 6,068 cases of identity theft in 2022. Oklahoma is ranked 36th in the country, with 154 identity theft cases per 100,000 residents.
Banking and Tax Info
Oklahomans enjoy an income tax rate of only 0.5-5% and a state sales tax of 4.5%. However, with added local taxes, the sales tax rate can jump to 11% in some counties.
The population of unbanked residents is more common in the Sooner State than in the rest of the country, as up to 5.6% of Oklahoma residents don’t have a checking or savings account with a bank.
How TurboDebt Helped Oklahoma Residents Find Debt Relief in 2022
At TurboDebt, we assisted 1,525 Oklahomans, of which 549 enrolled in our debt relief program. In 2022 alone, we enrolled a total debt of $11,055,172 from Oklahoma residents, with the average debt enrolled for each client coming in at $20,137.
Top Types of Debt to Get Relief from in Oklahoma
Credit Card Debt
Debt from credit card accounts can quickly escalate due to high interest rates for unpaid balances and late fees for missed payments. Even paying the minimum each month leaves you stuck with more to repay that what you originally owed.
Seeking credit card debt relief is something that nonprofit credit counseling agencies or companies like our own can help debtors with. Using a TurboDebt solution, you can pay a reduced amount (sometimes up to 50% of the total debt owed before fees) within as little as 24 months.
Divorce is a stressful time emotionally and financially for couples. Unsecured or secured debts incurred during a divorce can become a burden, especially after paying legal fees. In fact, the average Oklahoma divorcee spends between $7,500 to $15,000 for proceedings and filings.
TurboDebt can help get you into an Oklahoma-specific divorce debt relief program to manage costs after this major life event.
Debt should only account for 30% of a business’s capital. Most small businesses in the United States have just below $200,000 in debt, but with too much debt on the books, companies can develop outstanding balances that make it harder to turn a profit.
Oklahoma business owners can access debt relief programs like TurboDebt’s options to help them regain control of their finances and eventually work their way toward financial success.
Medical debt is a big problem for many Americans and accounts for approximately 43% of all debt in collections in Oklahoma.
Despite recent federal-level changes lessening the impact on someone’s credit rating, medical debt is still a crippling cost for many. More than 100 million Americans have some form of medical debt, which will only rise in the coming years.
The average mortgage debt for Oklahoma residents is $150,000, which is well below the national average but still a significant amount. As the housing market continues to shift, with high interest rates deterring some buyers and loan amounts increasing at a rapid pace, it's no wonder many homeowners struggle with outstanding debt.
At TurboDebt, we're here to help Oklahomans find a way to relieve their debts and get back on the path toward financial security.
For many senior Americans, unsecured and secured debts still plague them after retiring. The average retirement debt in Oklahoma is $21,408 as of the third quarter of 2021. While this is lower than the national average of $24,756, it still makes paying off debt difficult on a fixed income.
It's estimated that 30% of retired Americans currently claim to have little or no retirement savings in their bank accounts. If you're approaching retirement or are already in retirement and struggling with debt in Oklahoma, there are several options available for debt relief. TurboDebt is here to help all senior and retired Americans get retirement debt relief so that they can enjoy life after work.
Options for Debt Relief in Oklahoma
Debt Management Programs
A debt management program is a common debt relief option that combines all your existing debts into a single monthly payment at a low-interest rate. If a debtor has a steady income and can reliably make those monthly payments over three to five years (on average), this may be a good option.
Because this type of program creates a monthly payment plan that helps a debtor stay within their income and budget, it can be an effective option for people who need assistance with budgeting and money management. Monthly payments on other debts may also be negotiated with lower interest rates through a debt management program.
Debt Consolidation Loans
In a debt consolidation loan, a debtor secures enough funds to repay their accumulated debts. This single, negotiated loan (including interest) pays off all existing loans over a specified period of time.
It's important to note that a lender may offer low-interest rates on a payment as a “preview” and change to higher interest rates during the repayment period, costing you more long-term. Check the loan conditions carefully to ensure it's the best option for repaying your debts.
Debt settlement is a solution in which a debt settlement company negotiates with a borrower’s debt collectors to let them repay only a portion of what they owe. Some debt settlement organizations require a large sum on hand to settle the debt, while others help you break it down into affordable monthly payments, like TurboDebt's solution.
Oklahoma debt settlement programs may also require debtors to pay 15-25% of their remaining sum as a minimum payment. However, this option can also help you reduce what you owe by up to 50%, helping you get out of debt faster.
Credit counseling is completed through a credit counseling agency, informing participants on ways to manage and reduce indebtedness. The process involves developing a personalized debt repayment plan to avoid further financial hardship.
A candidate will consult with a credit counselor (typically through a free consultation like TurboDebt offers) who's certified and trained in advising participants on consumer credit, budgeting, and debt consolidation and management. Credit counselors can help participants obtain copies of a credit report while offering free financial education and advice.
Filing for bankruptcy is typically the last debt relief option Oklahomans can pursue. To start the process, you'll file a petition to a bankruptcy court, a federal court, as outlined in the U.S. Bankruptcy Code.
Individuals can file different forms of bankruptcy, depending if it’s just for one person, a family, or a business. For example, individuals file Chapter 7 bankruptcy or Chapter 13 bankruptcy, whereas businesses file for Chapter 7 to liquidate assets or Chapter 11 bankruptcy to ‘reorganize’ or reallocate them.
Filing for bankruptcy is considered a final option or a ‘nuclear’ one, as getting back to a healthy financial state takes many years to complete. It’s a complicated procedure, and it's best to seek legal advice before you make a final decision.
Debt forgiveness is a term used to describe when a lender ‘forgives’ all or some of a borrower’s balance on their loan or credit with them.
Some types of forgivable debt include student loans, medical bills, credit card debt, mortgages, and tax debt. Usually, a borrower must qualify for a special debt relief program to receive forgiveness through the federal government or other organizations.
Debt and Financial Hardship Resources
Temporary Assistance Programs
Oklahoma Temporary Assistance for Needy Families: The Oklahoma TANF program offers financial aid directly to families with dependent children in financial hardship. This may include temporary cash advances, work skills training, providing employment opportunities, and child care assistance.
State Health and Human Services
SoonerCare: This program provides financial help to cover medical insurance and associated costs for children under 19, adults who have children under 18, and the elderly (65 years or older).
Free Child Care Program: Oklahoman parents and caregivers in need can get help with paying for child care expenses to ensure care, education, and nutrition continues while parents or caregivers are at work.
Shelters for the Homeless
Foreclosure Prevention and Mortgage Assistance Programs: Oklahoma's various housing and urban development (HUD) counseling agencies have lists of non-profit organizations that help those dealing with mortgage issues and potential foreclosure.
Free Transportation Services
SoonerRide: The Oklahoma State Government provides transportation to medical appointments for Medicaid recipients with their SoonerRide program.
Finding Debt Relief in Oklahoma
With strategic planning, you can take back control of your finances with reputable assistance from TurboDebt. We provide free consultations with transparent advice on how to handle your debt.
When searching for debt relief, It's important to be aware of scams surrounding debt settlement, consolidation, and management programs. Do your due diligence and check for accreditations and information from the Better Business Bureau. Read reviews from trusted and unbiased sources.
We're standing by and ready to help anyone in the State of Oklahoma achieve financial freedom once more. Take the first steps today by calling us for a free consultation, and let’s get you started down the path to becoming debt free!