Property

Learn how property is handled throughout the bankruptcy process and what to be aware of so you can keep your property.

How Can I File Chapter 7 and Keep My House?

If after careful research you determine that Chapter 7 bankruptcy is the right choice for your circumstances, you may be wondering if it’s possible to wipe away credit card debt and other unsecured loans, but hang on to your house. The short answer is *it depends*. If you’re current on your mortgage and there is not much equity in your home, it is likely that you can keep your house. However, the opposite may be true if there is significant equity in the home, or if you are behind on your mortgage payments. Read on for more information about how filing Chapter 7 bankruptcy might affect your mortgage and property rights.

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What Are the Washington DC Bankruptcy Exemptions?

District of Columbia law allows Chapter 7 bankruptcy filers to apply either federal bankruptcy exemptions or exemptions unique to the District (including certain federal nonbankruptcy exemptions) to their property. This means that you can choose whichever exemption structure is more financially advantageous for your situation, although you may not “pick and choose” exemptions from both structures. The information listed below will help you to compare and contrast the pros and cons of each approach. Note however, that if you moved to the District of Columbia less than two years ago, you may be required to exempt property according to the state exemption laws of your prior state of residence.

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What Are the West Virginia Bankruptcy Exemptions?

Claiming bankruptcy exemptions is straightforward for West Virginia residents because the state doesn’t allow filers to claim federal bankruptcy exemptions. A minority of states allow their residents to choose between applying state exemptions and federal exemptions to their property. However, because West Virginia is part of the majority, you’ll only need to worry about applying state-specific exemptions and federal nonbankruptcy exemptions to your assets. Take note however, that if you moved to West Virginia less than two years ago, you may need to deal with exempt property matters according to the law of your state of previous residence.

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What Are the Wyoming Bankruptcy Exemptions?

Some states allow their residents to choose between claiming state exemptions and federal exemptions; Wyoming is not one of these states. As a result, you don’t have to worry about learning more about federal bankruptcy exemptions. While much of your case will be impacted by the federal Bankruptcy Code and federal law, this is one area where you’ll generally only need to pay attention to state law, with a few exceptions. The only exception to this rule comes into play if you’ve lived in Wyoming for less than two years. In this case, you may need to claim exemptions according to the federal Bankruptcy Code or the law of your previous state of residence.

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What Are the Connecticut Bankruptcy Exemptions?

Connecticut is one of 17 states that allows most residents to choose between its unique exemptions and federal exemptions. As you can’t “cherry pick” exemptions from both structures, it’s a good idea to compare how much property you can safeguard under both schemes. That way, you’ll be able to make an informed choice about whether to take advantage of Connecticut law or federal law when it comes to exemptions. Unless you’ve lived in Connecticut for less than 2 years, you can pick whichever structure is most financially advantageous for your unique situation. Detailed information concerning both options can be found below.

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What Are the Iowa Bankruptcy Exemptions?

You may have heard about federal exemptions before, but you won’t need to worry about them when filing bankruptcy in Iowa. State law only allows Iowa residents to claim Iowa exemptions and doesn’t give filers the choice to apply federal bankruptcy exemptions to their property instead. This Iowa law isn’t an unusual approach, as only 17 states in the U.S. allow residents to choose between state-specific bankruptcy exemptions and exemption laws provided by the federal Bankruptcy Code. Note however that if you moved to Iowa within 2 years of filing for bankruptcy, you may be subject to a different set of exemption standards than long-time Iowa residents are.

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What Are the Mississippi Bankruptcy Exemptions?

Under Mississippi law, almost all Mississippi residents must apply state exemptions to their property, as Mississippi doesn’t allow filers to claim federal exemptions unless an exception for a certain kind of property is allowed under federal law. Mississippi isn’t alone in this approach, as only 17 states allow filers to apply federal bankruptcy exemptions to their property instead of state exemptions. The only scenario under which you’d claim anything other than Mississippi exemptions is if you moved to Mississippi less than two years ago. Because Mississippi residents only have one exemption model to apply to their assets, the process of claiming exemptions is relatively straightforward.

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What Are the Montana Bankruptcy Exemptions?

Montana is not one of the 17 states that allows residents to claim federal exemptions instead of state-specific ones. As a result, as long as you’ve lived in Montana for at least two years, you’ll need to claim state-specific exemptions (as detailed by Montana law) to your property when filing for Montana bankruptcy. This makes the process of claiming bankruptcy exemptions fairly straightforward, as you don’t have to choose between the federal exemption scheme and the Montana exemptions. Simply claim every exemption that applies to you under state bankruptcy law and you’ll keep as much of your property safe from your trustee as possible.

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What Are the North Dakota Bankruptcy Exemptions?

One straightforward thing about filing for bankruptcy in North Dakota is that it doesn’t allow residents to claim federal bankruptcy exemptions. Although 17 jurisdictions in the United States do allow residents to apply federal exemptions to their property, North Dakota law doesn’t provide a choice between federal exemptions and state exemptions. Therefore, unless you moved to North Dakota less than 2 years ago, you don’t have to worry about comparing state law with federal law in this regard. Simply evaluate the North Dakota exemptions listed below and claim them if they apply to you. However, if you have qualifying assets, you will also want to take the federal nonbankruptcy exemptions into consideration in addition to the state-specific structure.

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What Are the New Hampshire Bankruptcy Exemptions?

New Hampshire residents have a choice to make when claiming bankruptcy exemptions. As long as you’ve lived in New Hampshire for a minimum of 2 years, you can choose to claim either New Hampshire exemptions or exemptions under federal law. You aren’t allowed to pick and choose exemptions from both structures, so you’ll want to carefully compare and contrast the values of each (listed below) to determine whether state bankruptcy exemptions or federal bankruptcy exemptions will protect more of the property you own. Just remember that not all exempt property is created equal. For example, if you’re a homeowner, you may want to take advantage of a superior homestead exemption, even if a particular approach offers less in the way of personal property exemptions. Note that you can take advantage of federal nonbankruptcy exemptions, even if you choose to apply New Hampshire exemptions to your case.

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What Are the Rhode Island Bankruptcy Exemptions?

One important decision you’ll need to make when filling out your bankruptcy petition involves choosing which exemption statutes you’ll apply to your property. Rhode Island bankruptcy law allows residents (who have lived in the state for a minimum of 2 years) to claim either state exemptions or federal exemptions. It’s possible that you can exempt the same amount of property under both schemes, depending on what you own. But it’s also possible that you’ll benefit significantly by choosing one approach over the other. As you aren’t allowed to “cherry pick” exemptions from both structures, it’s important to compare and contrast the exemption types (including the federal nonbankruptcy exemptions) and amounts allowed under both schemes. That way, you can make an informed decision regarding which will serve you best.

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What Are the South Dakota Bankruptcy Exemptions?

South Dakota is among the majority of states that doesn’t allow residents to claim federal bankruptcy exemptions. Sixteen states and the District of Columbia allow residents to choose from their state exemption structure or the federal exemption structure per the federal Bankruptcy Code. As South Dakota does not, this makes the process of claiming exempt property more straightforward because you won’t have to compare two schemes to see which is more advantageous. As long as you’ve lived in South Dakota for a minimum of two years, you’ll apply state bankruptcy law and federal nonbankruptcy exemptions only when claiming exemptions for your personal property.

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What Are the Vermont Bankruptcy Exemptions?

Vermont is one of 16 states (and the District of Columbia) that allows residents to choose between claiming the state-specific exemptions (coupled with some federal nonbankruptcy exemptions) or the federal exemptions. Each structure is independent, meaning that you can only claim one or the other and may not “cherry pick” those that you like best from each approach. It’s important to compare each structure to determine which will benefit your situation more completely. Note that if you have lived in Vermont for less than 2 years, you may need to apply bankruptcy exemption law from your state of prior residence.

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What Are the Utah Bankruptcy Exemptions?

Utah law does not allow residents to choose between claiming state-specific exemptions and federal exemptions. Instead, Utah Code specifies that residents who have lived in the state for at least two years must apply Utah exemptions to their property. While some states allow their residents to apply the federal structure of exemptions to their assets, Utah doesn’t, which makes the process of identifying exempt property and exemption values available to you more straightforward. All you need to remember is that to protect as much of your property as you can while you’re seeking debt relief and laying the groundwork for a fresh start, you’ll need to claim as many Utah exemptions to your property as are available and relevant to your situation.

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What Are the Arkansas Bankruptcy Exemptions?

Most states only allow residents to apply their specific state’s exemptions to their property. However, Arkansas is one of 17 states that allows most residents to choose between the federal exemption scheme and exemptions allowed by Arkansas law. You can only apply one structure to your case, so it’s important to compare and contrast the benefits and drawbacks of each approach before committing to one or the other. As long as you’ve lived in Arkansas for at least 2 years, you can choose whichever approach will allow you broader bankruptcy protection for your property.

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What Are the Kentucky Bankruptcy Exemptions?

The exemption amounts available to you will depend on whether you choose to apply Kentucky bankruptcy exemptions or federal exemptions to your property. Kentucky law allows residents who have lived in the state for at least 2 years to choose between the Kentucky exemption structure and the federal exemption structure. You can’t “pick and choose” between structures, so it’s important to compare the advantages and disadvantages of each before deciding which will be most financially beneficial for your situation. Below, you’ll find detailed information about each structure so that you can determine which will be most advantageous for your family.

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What Are the South Carolina Bankruptcy Exemptions?

Only 17 states allow their residents to choose between claiming state exemptions and federal bankruptcy exemptions. South Carolina is not one of these states. Instead, South Carolina law provides residents with state-specific exemptions and does not allow its residents to claim federal exemptions. While some federal law in the Bankruptcy Code does influence how some South Carolina exemptions are structured, the kinds of exempt property filers can claim and the exemption amounts that apply to bankruptcy cases are state-specific. It’s important to note that if you have lived in South Carolina for less than 2 years, you may not be able to claim South Carolina’s exemptions to your property.

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What Are the Massachusetts Bankruptcy Exemptions?

Massachusetts law allows for most residents to choose between applying federal bankruptcy exemptions and state exemptions to property that could be affected by the bankruptcy process. The only time that this choice is not available is if a filer is a new Massachusetts resident and has lived in the state for less than 2 years. By examining each approach below, you can determine whether your case will be served best by applying Massachusetts exemptions or by claiming those available under federal law. Oftentimes, both schemes do an equally adequate job of safeguarding a filer’s property. But sometimes, it’s advantageous to choose one option over the other.

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What Are the North Carolina Bankruptcy Exemptions?

Every state has its own set of bankruptcy exemptions. There’s also a set of federal exemptions contained in the United States Bankruptcy Code. Several states allow filers to choose whether to use state exemptions or federal bankruptcy exemptions, however, North Carolina doesn’t allow for the choice. If you’re a North Carolina resident filing bankruptcy, your only option is to use the North Carolina state bankruptcy exemptions. You can, however, use the federal nonbankruptcy exemptions in addition to the North Carolina state exemptions for any other federal protections available, either within a bankruptcy or not, beyond the state exemptions.

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What Are the Kansas Bankruptcy Exemptions?

Kansas does not allow filers to choose between using state exemptions and the federal exemptions. If you have lived in Kansas for more than two years you must use Kansas state exemptions in your bankruptcy case. If you do not meet the two-year (730-day) residency requirement, then you need to use the 180-day rule to determine which state’s rules apply. With the 180-day rule, you should look to where you lived for the majority of the 180 days before two years prior to your filing date. In other words, where you lived two and a half years ago. Once you have surpassed that two-year mark, however, you’re only able to use Kansas state exemptions. Married couples filing a joint bankruptcy together in Kansas can double most of the exemption amounts, so long as both spouses have an ownership interest in the property. Additionally, filers in Kansas can also use the protections offered by the federal nonbankruptcy exemptions along with their state exemptions.

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What Are the Nevada Bankruptcy Exemptions?

Nevada has opted out of the federal bankruptcy exemptions. This means that if you file for Chapter 7 bankruptcy in Nevada, presuming you fulfill the residency requirement, you must use the Nevada state exemptions for your bankruptcy case. There is one exception to this, which is if you have lived in Nevada for less than 730 days (two years), you don’t yet qualify to use the Nevada state exemptions. Instead, you’ll need to look back to where you lived during the 180 days before the two years prior to your filing, or roughly two and a half years ago. In either case, you will still have access to the federal nonbankruptcy exemptions in addition to your state exemptions.

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What Is a Lien and How Does It Affect My Property

A lien is a property right held by a creditor to secure the creditor’s right to payment from the borrower. Once the creditor is paid in full, the lien is released and the borrower owns the property free and clear. This article will provide an overview of the different types of liens, how they arise, and provide some guidance and additional resources on how to deal with liens in a Chapter 7 bankruptcy.

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What are the New Mexico Bankruptcy Exemptions?

In New Mexico, filers are generally allowed to choose between applying federal bankruptcy exemptions or state-specific bankruptcy exemptions to their property. This means that most filers can take advantage of either exemption structure, depending on which will yield the most favorable results. However, if you haven’t lived in New Mexico for a minimum of two years, you may be required to use a specific exemption structure in accordance with federal and state laws. This approach aims to prevent people from moving to a different state to take advantage of the best exemption offerings available.

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What are the Maine Bankruptcy Exemptions?

Maine does not allow its residents to use federal bankruptcy exemptions at this time. While 17 states do allow most residents to choose between their state’s bankruptcy exemption structure and federal exemptions, Maine is one of the 33 states that requires residents to use Maine exemptions only. This means that if you’re filing for Chapter 7 bankruptcy in Maine, as long as you’ve lived in the state for a minimum of 2 years, you’ll only be applying Maine bankruptcy exemptions to your property (except where state bankruptcy law allows for the limited use of very specific federal exemptions as add-ons).

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What are the Oklahoma Bankruptcy Exemptions?

Identifying available bankruptcy exemptions is relatively straightforward in Oklahoma, because state law doesn’t allow residents to claim federal bankruptcy exemptions. While 17 states do allow residents to choose between state and federal exemptions, Oklahoma does not. As a result, if you have lived in Oklahoma for at least two years, the bankruptcy court will only allow you to claim Oklahoma’s unique state exemptions. You can learn about each of the exemptions available to you in the information listed below. As you’re reading this information, jot down any questions that it inspires so that you can reference them easily if you choose to meet with a bankruptcy attorney.

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How do I know if my trustee is going to seize an asset?

Chapter 7 bankruptcy is a liquidation bankruptcy and if the filer has property that is not protected by the available exemptions, the bankruptcy trustee sells the property for the benefit of all unsecured creditors. The vast majority of all consumer Chapter 7 bankruptcy cases filed in the United States do not result in the sale of any assets by the trustee. Trustees never simply come and take an asset - whether that’s money in your bank account or a boat sitting in your driveway. Let’s look at what you can review to determine whether your trustee is likely to seize an asset from you and what to expect once your case is filed.

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What are the Maryland Bankruptcy Exemptions?

When Congress enacted the bankruptcy laws they created federal bankruptcy exemptions while at the same time, giving states the opportunity to decide if they want to use federal exemptions or create their own. A little less than half of the states allow filers to use either the federal bankruptcy exemptions or the state exemptions to protect their real property and personal property. Maryland requires filers who have lived in the state for at least 2 years to use the state exemptions. This means that to protect your property you will need to claim Maryland’s bankruptcy exemptions. Although you can’t use the federal bankruptcy exemptions contained in the Bankruptcy Code, you will be able to use the federal nonbankruptcy exemptions. The nonbankruptcy exemptions allow you to protect retirement accounts that are typically linked to a government job.

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What are the Louisiana Bankruptcy Exemptions?

Every state has its own set of bankruptcy exemptions, which are available to residents who file bankruptcy in that state. There is also a set of federal exemptions available under the United States Bankruptcy Code. Each state can decide whether to allow its residents to choose between their state exemptions and the federal exemptions. Louisiana is an “opt-out” state, which means that residents are limited to using only the Louisiana state exemptions. Debtors filing in Louisiana can, however, use any of the federal nonbankruptcy exemptions that they qualify for as a supplement to the state exemptions.

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What are the Colorado Bankruptcy Exemptions?

While the U.S. Bankruptcy Code operates in basically the same way throughout the country, there is one important exception: States have the ability to choose whether their residents can use the federal bankruptcy exemptions or have to use the exemptions available under state law even in a bankruptcy. While some US states allow people to choose between exemptions drafted by state lawmakers and federal bankruptcy exemptions, as a Colorado resident, you are not permitted to use the federal exemptions. Fortunately, Colorado has generous bankruptcy exemptions that can protect your property. So, you will have to use Colorado’s bankruptcy exemptions and federal nonbankruptcy exemptions, if applicable in your case. Unless stated otherwise, married couples in the state filing together can usually “double” the amount, provided both have an ownership interest in the relevant asset or property.

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What are the Delaware Bankruptcy Exemptions?

Each state has its own set of bankruptcy exemptions available to its residents. There is also a set of exemptions available at the federal level in the United States Bankruptcy Code, which is part of the U.S. Code or U.S.C., and each state can decide whether or not to offer the federal exemptions as an alternative option for filers. Only a minority of states offer a choice. Delaware, like the majority, has opted out of allowing its residents to use the federal bankruptcy exemptions. So, if you’re filing bankruptcy in Delaware, you’ll be limited to only using the Delaware state exemptions. You can, however, also use any of the federal nonbankruptcy exemptions if you qualify to supplement the state exemptions.

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What are the Indiana Bankruptcy Exemptions?

Most people are unaware that there are two types of exemptions that can be used if you file bankruptcy. When Congress enacted bankruptcy laws they allowed states to choose if they wanted to allow their residents to use the federal bankruptcy exemptions or state specific exemptions to keep their property. Indiana is one of the states that only allows filers to use the Indiana bankruptcy exemptions. So, when you fill out your bankruptcy forms, you will need to make sure that you are using the Indiana exemptions, not federal exemptions. One exception to this rule is that you can use the federal nonbankruptcy exemptions to protect certain retirement accounts and disability benefits. Keep in mind that choosing the right exemption to use is essential for your case to run smoothly.

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What are the Minnesota Bankruptcy Exemptions?

When you file a Chapter 7 or Chapter 13 bankruptcy you will learn that there are two types of exemptions that you can use. In Minnesota, you can use both federal bankruptcy exemptions and Minnesota bankruptcy exemptions. When Congress enacted the bankruptcy laws, they allowed states to decide if they wanted to opt into using the federal exemptions. Minnesota is considered an “opt-in” state because you can choose to use either exemption. If you choose to use Minnesota’s bankruptcy exemptions, you may also use the federal nonbankruptcy exemptions to protect retirement accounts and disability benefits. These additional exemptions can’t be used if you choose to use the federal bankruptcy exemptions.

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What are the Oregon Bankruptcy Exemptions?

There is some good news for Oregonians who are looking to file for bankruptcy protection in the state. Note that now there are 2 separate systems of bankruptcy exemptions to protect Oregon filers in bankruptcy. The Governor signed a significant law on July 1, 2013, that now allows individuals filing either Chapter 7 bankruptcy or Chapter 13 bankruptcy in the state to elect to use federal bankruptcy exemptions. It is a huge change to the bankruptcy process in Oregon with a substantial impact on bankruptcy cases now being filed.

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What are the Pennsylvania Bankruptcy Exemptions?

As mentioned above, when you file for bankruptcy you will need to determine whether to use the federal or Pennsylvania bankruptcy exemptions. As you fill out your bankruptcy petition, you will need to go through each of your assets and determine which set of exemptions fits best. Pennsylvania is one of the few states that allows you to choose which exemptions to use. Pennsylvania law allows you to either pick the federal or state exemptions, but you can’t use both. If you choose to use the Pennsylvania exemptions, you will only be able to use the federal nonbankruptcy exemptions to protect certain qualifying retirement accounts and disability benefits for public employees and military personnel. To stop people from fraudulently moving to different states to file bankruptcy where the exemptions are more favorable for them, the Bankruptcy Code requires you to be a Pennsylvania resident for at least 730 days (two years) to use Pennsylvania’s exemption scheme.

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What are the Tennessee bankruptcy exemptions?

When Congress enacted the bankruptcy laws, it gave states the option to choose how they wanted filers to exempt their property. States were given the option to choose between allowing the federal exemptions set forth in the Bankruptcy Code and state exemptions. Some states allow filers to choose which exemption they want to use. Tennessee is not one of these states. If you are looking to file bankruptcy and exempt your property in Tennessee, you will be limited to Tennessee’s exemptions only. Tennessee law does not allow you to use the federal exemptions to protect property of the bankruptcy estate. One exception to this rule is that you can use the federal nonbankruptcy exemptions to protect certain retirement accounts and disability benefits.

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What are the Washington Bankruptcy Exemptions?

There are federal bankruptcy exemptions and state exemptions that folks can choose from when filing bankruptcy. When Congress enacted the federal law on bankruptcy, they gave the states the discretion to decide if they wanted to use the federal bankruptcy exemptions or the state exemptions. Washington allows you to choose between the federal exemptions and the state exemptions. This means people filing bankruptcy in Washington can choose which set of exemptions is better to protect their assets. Keep in mind that Washington exemptions and the federal exemptions set forth in the Bankruptcy Code can’t be used together. Filers are required to pick one or the other. If you decide to use the state exemptions, you will be able to use the federal nonbankruptcy exemptions to protect certain retirement accounts and disability benefits.

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What are the Hawaii Bankruptcy Exemptions?

Bankruptcy exemptions can vary from state to state as each state has its own exemption laws. States can also decide whether or not to allow the federal bankruptcy exemptions, which can be found in the United States Bankruptcy Code, as an alternative option to its residents. A minority of states allow a choice between state exemptions and federal exemptions, and Hawaii is on that list. This means that anyone filing bankruptcy in Hawaii can choose to use the state exemptions or the federal ones, depending on whichever suits them best. Please note that while you can choose between exemption sets, you can’t pick and choose for individual items. Whichever set you choose will be the only one that you can apply in your case. If you do decide to use Hawaii bankruptcy exemptions you can also supplement them with the federal nonbankruptcy exemptions if any are applicable.

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What are the Alaska Bankruptcy Exemptions?

Every individual state has its own set of bankruptcy exemptions available to residents. Bankruptcy exemptions also exist at the federal level in the United States Bankruptcy Code. Some states, including Alaska, allow their residents to choose between the state and federal exemptions. To be clear, you can’t pick and choose among all of the individual exemptions, rather you can decide which set you want to use, but then you are limited to the options within that set. If you decide to go with Alaska state exemptions, you can also supplement those with any federal nonbankruptcy exemptions that may apply.

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What are the Alabama Bankruptcy Exemptions?

When you file for bankruptcy you will learn that there are two sets of exemptions that states can use. The federal bankruptcy exemptions and state exemptions. Congress enacted the federal exemptions and gave states the option to allow their residents to use those exemptions. Alabama only allows filers to use the Alabama exemptions, not the federal exemptions. So, if you plan to file bankruptcy in Alabama, you will only be allowed to use the Alabama exemptions. Alabama exemptions can be found in the Alabama Code. Alabama exemption amounts are adjusted for inflation every three years. The next change will go into effect on July 1, 2020. In addition to Alabama's state exemptions, filers are able to use the federal nonbankruptcy exemptions to protect certain retirement accounts and disability benefits.

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What are the Missouri Bankruptcy Exemptions?

The most important thing you will need to educate yourself before filing bankruptcy is what bankruptcy exemptions you will need to use. Bankruptcy exemptions allow you to keep your property. When filing bankruptcy there are two types of bankruptcy exemptions you will need to be aware of - federal exemptions and state exemptions. When Congress enacted bankruptcy laws, they implemented federal bankruptcy exemptions to allow filers to protect their property. At the same time, they allowed each State the opportunity to choose whether they want to use the federal exemptions or to opt-out if not. If you file bankruptcy in Missouri, you will learn that Missouri is an “opt-out” state. This means that Missouri opted out of allowing filers to use the federal bankruptcy exemptions. You can use the federal nonbankruptcy exemptions to protect certain qualifying retirement benefits, death benefits, and veterans’ benefits.

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Is my stimulus money at risk if I file bankruptcy before I get the funds?

The funds you’re expecting will be an asset of your bankruptcy estate. There is nothing in the CARES Act, the relief bill that created the stimulus, that suggests otherwise. This means the only way to protect the money is through a wildcard exemption.

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What are the Ohio Bankruptcy Exemptions?

Although some states in the country allow people to choose between the federal bankruptcy exemptions and state exemptions, this option is not available if you are filing bankruptcy in Ohio. Ohio, like many other states, has its own bankruptcy exemptions. If you’ve lived in Ohio for at least 2 years when filing your case, you have to use the Ohio bankruptcy exemptions and can’t use federal exemptions Note that one great advantage of using state bankruptcy exemptions in Ohio is that you will have an additional list of bankruptcy exemptions that might be available to you. So, while you have to use Ohio bankruptcy exemptions if you file a bankruptcy in the state, you can use the federal nonbankruptcy exemptions as well. These exemptions protect certain qualifying property, like federal and military retirement benefits.

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What are the Wisconsin Bankruptcy Exemptions?

You will find a list of available exemptions in the federal Bankruptcy Code, or you may instead decide to use exemptions available under Wisconsin law. However, keep in mind that each state has the option of “opting out” of this scheme. Bankruptcy filers in an opt-out state may only use their state exemptions and not use the federal exemptions. As Wisconsin hasn’t opted out of the choice between state exemptions and federal exemptions, Wisconsinites who file bankruptcy can choose between federal bankruptcy exemptions or state exemptions. Actually, you will be happy to know that Wisconsin is one of the few US states that allows filers this choice, and this is a real advantage if you are filing Chapter 7 in the state. However, keep in mind that you are not allowed to cherry-pick exemptions from both lists; you can select only one set of exemptions. If you’re using Wisconsin law to exempt your property, you can also use the federal nonbankruptcy exemptions, if applicable. This also means that if you’re filing for bankruptcy in the state, you should review both sets of exemptions and then choose what scheme can best protect your property. Hiring an attorney can be helpful in this respect.

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What are the Michigan Bankruptcy Exemptions?

If you are considering filing bankruptcy in Michigan, you will probably have come across the terms federal bankruptcy exemptions and state exemptions. Many states in the US allow people to choose between the federal exemptions and state exemptions while others don’t. Michigan allows residents to choose between the federal bankruptcy exemptions and state exemptions. This is why you have more flexibility. However, keep in mind that you can’t protect property by using both sets of exemptions. You’ll have to pick the system that works best for you. A bankruptcy attorney can help you decide which exemptions are best for you. If you decide to use Michigan exemptions, then the federal nonbankruptcy exemptions will also be available to you. Spouses in Michigan who file a joint bankruptcy may double most, but not all, of the exemption amounts on the state exemption list. For example, Michigan spouses are restricted to one homestead exemption.

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What are the California Bankruptcy Exemptions?

If you are a California resident, you can’t protect your possessions, like bank deposits and commercial vehicles, under the Bankruptcy Code’s exemptions. So, Californians filing bankruptcy have to use California exemption law. Some states permit filers to choose between a set of federal bankruptcy exemptions and the state exemption system. However, California isn’t one of them. California is called an “opt-out” state, which means federal bankruptcy exemptions are not available to filers in the state.

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What are the Florida Bankruptcy Exemptions?

If you have done some research on bankruptcy cases or exempt property, you will probably have come across the terms federal bankruptcy exemptions and state exemptions. Although the federal Bankruptcy Code has a list of bankruptcy exemptions, these exemptions aren’t available in Florida. In Florida, you are not permitted to use the federal bankruptcy exemptions. Florida residents have to use the state exemptions. Also, you can use the federal nonbankruptcy exemptions contained in the federal law if you have any assets covered by them.

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What are the Illinois Bankruptcy Exemptions?

If you have done a bit of research on bankruptcy cases in Illinois or exempt property, you will probably have come across the terms federal bankruptcy exemptions and state exemptions. Many states in the US allow people to choose between the federal exemptions and state exemptions. However, you don’t have that option in Illinois. In Illinois, you are not permitted to use the federal bankruptcy exemptions if you’ve lived in the state for at least 2 years when you file bankruptcy. Fortunately, Illinois has generous bankruptcy exemptions that can protect your property.

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What are the Texas Bankruptcy Exemptions?

If you live in Texas, you are lucky. It is one of the best states in the US in which to file bankruptcy. Here is why you will benefit from filing bankruptcy in Texas. Some US states, including Texas, allow filers to choose between the federal bankruptcy exemptions and the state exemptions. However, it has to be one or the other—if you opt for the Texas state exemptions, you cannot cherry-pick specific exemptions off the federal bankruptcy exemptions, and vice versa.

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Spending money before filing Chapter 7 bankruptcy

While it seems strange, sometimes folks in need of bankruptcy relief have money that they need to spend before their case can be filed to maximize their fresh start by getting set up in the best possible way. Even if you don’t have a bunch of money to spend before filing your case, it’s important to know what to avoid in the months leading up to your filing, so you don’t inadvertently make your case more complicated than it needs to be.

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How Long After Filing Bankruptcy Can I Buy a House?

Many people are concerned that filing bankruptcy will prevent them from buying a house in the future. The truth is, filing bankruptcy doesn’t prevent you from buying a house. A bankruptcy filing can be your first step toward homeownership. Many real estate agents and mortgage brokers have relationships with bankruptcy attorneys. In some cases, you don’t even have to wait until your bankruptcy is over before buying a home.

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What is a bankruptcy estate?

Whenever someone files for bankruptcy, a bankruptcy estate is automatically created. A bankruptcy estate consists of the property or assets that you own. What assets you get to keep because it’s protected depends on the bankruptcy exemptions that you can claim. In this article, we will review what a bankruptcy estate is and what that means for you.

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Store Cards and Bankruptcy

Issuing credit cards to their customers is a favorite and quite effective marketing technique used by many retail stores. It makes the customer feel special and come back to take advantage of the “deals” only available to card holders. Common examples include Best Buy, Kohl’s and Apple credit cards. This article explores how store credit cards are treated in a Chapter 7 bankruptcy.

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Giving gifts before filing bankruptcy

The bankruptcy system doesn’t care about the fact that you purchased your kids some toys for Christmas, or that you’re giving a friend a $10 gift card for their birthday. But, you will be required to list all persons who received gifts with a combined value greater than $600 within the 2 years before your bankruptcy case is filed. This article discusses how gift giving is viewed in a Chapter 7 bankruptcy.

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What are the Arizona Bankruptcy Exemptions?

Arizona has opted out of the federal bankruptcy exemptions. If you’ve lived in Arizona for at least 2 years when your bankruptcy is filed, you have to use the Arizona exemption laws. This article explores the exemptions available under Arizona law.

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Filing bankruptcy while self-employed

Do you own your own business and are your own boss? Congratulations! You're living the American dream! Of course, if you're finding yourself in financial difficulties, the American dream of being self employed can feel a little bit like a nightmare. This article will explore the two most typical ways individuals own businesses, and how it impacts your options when it comes to getting lasting debt relief through a personal Chapter 7 bankruptcy.

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Everything You Need to Know About How Bankruptcy affects Credit Union Accounts

There are a lot of details to understand when you are deciding whether filing for bankruptcy is a good idea. If you are a member of a credit union, there are some specific things to consider that are unique to this type of organization. Keep reading to learn how bankruptcy affects credit union accounts.

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What is non-exempt equity?

What property you are allowed to keep and what you may be forced to sell or surrender when you file a Chapter 7 bankruptcy depends on how much non-exempt equity you have in the item. Let’s explore what this means for you, so you can choose the path to debt relief that makes the most sense for you.

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Can I get a mortgage after chapter 7 bankruptcy?

Yes, you can get a mortgage after a chapter 7 bankruptcy. Lenders have their own requirements and waiting periods.

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A Guide to Leases in Bankruptcy

A lease is an agreement between a lessor and lessee, usually involving rental property or a vehicle. Learn how to deal with your lease in a bankrutpcy so there are no unexpected surprises!

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What happens if you transfer property before bankruptcy?

You are not allowed to transfer property for fraudulent purposes or for the purpose of hiding the property from your creditors.

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Will I get to keep my property during my bankruptcy?

When you file for Chapter 7 bankruptcy, the court lets you keep your property up until a certain amount. One of the biggest misconceptions of bankruptcy is that you will lose everything you own. That’s not true.

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Does a laptop count as a household good?

No. Include your laptop in when the questionnaire asks you about the electronics that you own. 

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What is Community Property?

Property owned by a married couple is always one of two types - Marital or Separate. Generally, marital property is anything that you earned or acquired while married unless you and your spouse agreed otherwise. Separate property varies from state to state.

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What is an asset in bankruptcy?

Everything you own or have an interest in is considered an asset in your Chapter 7 bankruptcy. Whether the bankruptcy trustee will use an asset to pay your creditors depends on whether the asset is protected by an exemption. Even if it's not protected, the asset itself has to be of enough value to make selling it worh the trustee's effort.

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Keeping a Checking Account During Chapter 7 Bankruptcy

If your account is being garnished, the bankruptcy case should stop the garnishment. The garnishment should not start again if the debt is wiped out in the bankruptcy case. However, if the garnishment is for alimony, child support, or taxes, the bankruptcy won’t wipe out the debt and the garnishment continues.

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Can I Buy a House After Bankruptcy?

There are multiple financing options available to buyers post-bankruptcy. The most important step is to make the most of your waiting period before you apply for a loan.

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Can Bankruptcy Take Your House?

A serious fear that many people have when they file for bankruptcy relief is losing their home. Sadly, losing a home may prevent some people from seeking legal advice about bankruptcy relief. Let’s look at some factors that address the fear that bankruptcy takes homes.

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Should I File For Bankruptcy After A Repo?

Filing for bankruptcy after a car repo can get rid of any remaining debts that you have for your car.

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What is an asset in bankruptcy?

Figuring out what an asset is when filing for bankruptcy can be tricky. Learn what an asset is for your bankruptcy forms and the bankruptcy trustee.

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Can Bankruptcy Stop Foreclosure?

Filing bankruptcy can help you stop foreclosures, so that you can stay in your home.

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What are bankruptcy exemptions?

Bankruptcy exemptions protect property after a bankruptcy filing. Filing for bankruptcy relief does not mean that you have to give up everything you own. The purpose of filing a bankruptcy case is to get debt relief. We explain how you can protect your property from a Chapter 7 bankrutpcy trustee.

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How to Stop Wage Garnishment in California with Bankruptcy?

Wage garnishment is a way for debt collectors to take money directly from your paycheck. In California, your income level and amount of debt you have can determine how much of your wages can be garnished.

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How Can I Stop Florida Wage Garnishment with Bankruptcy?

Wage garnishment can be stressful and hurt your ability to recover from financial shocks. In Florida, there are laws that may be able to help you protect your income.

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How Can I Stop My Wages From Being Garnished?

Wage garnishment is a common problem for millions of Americans. It can be deflating to have your wages garnished. But you do have options to protect yourself.

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What are the Federal Bankruptcy Exemptions?

There are both federal laws and state laws that apply to bankruptcy and each set of laws has its own bankruptcy exemptions. The federal government makes its federal bankruptcy exemptions available to anyone who files Chapter 7 bankruptcy regardless of what state they file in. But, each state has the right to restrict its residents to using the state exemptions, having “opted out” of the federal bankruptcy exemptions.

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Can I Keep My Property If I File for Bankruptcy?

Most people who file for Chapter 7 bankruptcy end up keeping all their property. But that’s by no mean a given. Before filing for bankruptcy, it’s very important to know which exemptions will apply to your property and whether they can protect your property.

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What are the California Bankruptcy Exemptions?

If you're a debtor filing for bankruptcy and you live in California, you'll be using the California bankruptcy exemptions to keep your property.

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Upsolve is a 501(c)(3) nonprofit that started in 2016. Our mission is to help low-income families who cannot afford lawyers file bankruptcy for free, using an online web app. Spun out of Harvard Law School, our team includes lawyers, engineers, and judges. We have world-class funders that include the U.S. government, former Google CEO Eric Schmidt, and leading foundations. It's one of the greatest civil rights injustices of our time that low-income families can’t access their basic rights when they can’t afford to pay for help. Combining direct services and advocacy, we’re fighting this injustice.

To learn more, read why we started Upsolve in 2016, our reviews from past users, and our press coverage from places like the New York Times and Wall Street Journal.