Most bankruptcy petitioners do not lose assets when filing for bankruptcy. Bankruptcy law includes exemptions enabling filers to keep certain types of property.
What Are Bankruptcy Exemptions?
Bankruptcy law recognizes that people filing for bankruptcy need essential possessions and assets to move forward after their bankruptcy is completed. The bankruptcy exemptions in federal Bankruptcy Code and state bankruptcy statutes are in place to protect these essential possessions and assets. A bankruptcy exemption is an item or property that a bankruptcy petitioner gets to keep during and after filing bankruptcy.
Including a List of Assets When You File Bankruptcy:
When you file bankruptcy, you include a list of asses in your petitioner. The bankruptcy petition’s list of assets is a full list of each item you are claiming as exempt, and the list includes each item’s fair market value. Both the bankruptcy trustee and the creditors in your case may review the list of assets claimed as exempt during the bankruptcy and may object, but they must have sufficient grounds for their objection. In most bankruptcy cases, what is exempt and what is not exempt is very clear, so there aren’t usually any related issues.
Notable Bankruptcy Exemptions: Which Property is Typically Exempt?
Common bankruptcy exemptions include a house, a car, and tools of the trade. For a complete understanding of bankruptcy exemptions and which property you own that falls into a bankruptcy exemption category, you should consult an experienced bankruptcy attorney. Sitting down to have your bankruptcy case reviewed by an experienced Georgia and Tennessee bankruptcy attorney is essential. They can work with you, helping you achieve your goals, get out of debt, and keep as much of your property as you can according to bankruptcy law.
If you are worried about filing bankruptcy, we can help. Most bankruptcy offices in the Chattanooga area don’t have a single Consumer Bankruptcy Specialist on staff. Our office is the only one with two. Please get in touch. You are in good hands with Kenneth C. Rannick P.C.