Chapter 7 Bankruptcy Exemptions And Chapter 13 Bankruptcy Exemptions

When you file for chapter 7 bankruptcy or chapter 13 bankruptcy, part of your property or estate will be exempt from your bankruptcy proceedings. Chapter 7 bankruptcy exemptions and chapter 13 bankruptcy exemptions must be reported when you file bankruptcy, otherwise they will be counted as part of your property and the Trustee who oversees your case will then sell it to pay off your creditors. Property, when you file bankruptcy, includes real estate, motor vehicles, furniture, jewelry, money, bank accounts, IRA accounts, pensions and 401(k) accounts, debts owed to you, lawsuits you haven’t yet filed but could file against someone, patents, copyrights, shares of stock, bonds, and practically everything else that you own somehow, in some way, tangible or intangible. Chapter 7 bankruptcy exemptions are usually personal items and in some cases, pension funds like IRA’s. Chapter 13 bankruptcy exemptions can extend to homes, cars, and certain personal items. It is important to know when filing chapter 13 bankruptcy, how much items that are not considered exempt, but you will be allowed to keep, will increase the value of your monthly payment plan. It is also vital to understand that in chapter 13 bankruptcy exemptions, those items will be valued at the fair market price after outstanding mortgages or loans.

Because the laws differ from state to state, it is important to be aware of the chapter 7 bankruptcy exemptions and chapter 13 bankruptcy exemptions for your state. It is most important to retain the services of a reliable and knowledgeable chapter 7 bankruptcy attorney or chapter 13 bankruptcy to assist you in this matter. He or she will explain you which types of property are considered exempt from bankruptcy in your state, and how to make sure these chapter 7 bankruptcy exemptions or chapter 13 bankruptcy exemptions are properly handled in your chapter 7 bankruptcy or chapter 13 bankruptcy. If you own property in more than one state, make sure your bankruptcy attorney is knowledgeable about chapter 7 bankruptcy exemptions and chapter 13 bankruptcy exemptions in all relevant states.