How Do I Keep My Personal Property In Bankruptcy?
A San Francisco bankruptcy lawyer asks: Can You keep personal property in bankruptcy?
Yes. Debtors, regardless of which chapter they file, generally can keep their personal property. In chapter 7 there are certain exemption limits, but for the most part all personal belongings and vehicles will not be taken by the bankruptcy trustee.
What happens to my personal property in bankruptcy?
California provides its own list for what is allowed to be exempt and not included with the bankruptcy estate. When a bankruptcy petition is being prepared, all the assets that the debtor wishes to keep are listed. If the value of those assets is less than the exemption limit, the debtor can keep their personal property. If the value of the assets is greater than the exemption limit, it is up to the trustee to determine whether it is worth trying to sell them. California legislation recognizes that personal property in bankruptcy is important and wants those who receive discharge to still have the basics of life.
What if I am still making car payments?
Generally a debtor can keep their car in bankruptcy. In a chapter 7 proceeding the car payments need to be current to ensure that the car will not be repossessed. In a chapter 13 proceeding the debtor, if they are able to make the current monthly payments, can repay the arrears in the chapter 13 plan, allowing them to remain in possession of the vehicle. If there is equity in the car you can generally exempt the equity amount to avoid any possible liquidation.
If you have questions regarding bankruptcy in San Francisco or bankruptcy in the greater Bay Area please contact our San Francisco Bankruptcy Attorneys at (415) 946-8882 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Francisco Bankruptcy Attorneys. After you have spoken with one of our Bay Area bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of Bankruptcy Lawyers, Bankruptcy Customer Care Specialists and Bankuptcy staff supporting San Francisco and Bay Area consumers in debt can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Francisco Bay Area!
