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What property can be exempted from a bankruptcy proceeding?
The bankruptcy laws allow a debtor to keep certain property to make a fresh start. That property is removed from the bankrupt estate and is not available to creditors. The debtor selects the property to be exempted from the statutory lists of exemptions available under the law of his state. One of the things you can keep is your home. However, the circumstances are different depending on whether there is equity in the home, outstanding mortgages or if the amount due on the mortgages exceeds the value of the home. For a definitive answer, you must consult with an attorney who specializes in bankruptcy law.
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If a recorded judgment against a debtor is listed incorrectly is it exempt from that bankruptcy proceeding?
There's lots of details that can change how that situation comes out, such as the nature of the judgment and which chapter of bankruptcy was filed. But, generally speaking, t…he Bankruptcy Code says that the debt is discharged if it is properly listed OR if the creditor had notice or actual knowledge of the bankruptcy filing in time to act to protect their rights. In 11 U.S.C. 523, the Bankruptcy Code says "(a) A discharge under section 727, 1141, 1228 (a), 1228 (b), or 1328 (b) of this title does not discharge an individual debtor from any debt- (3) neither listed nor scheduled under section 521 (1) of this title, with the name, if known to the debtor, of the creditor to whom such debt is owed, in time to permit- (A) if such debt is not of a kind specified in paragraph (2), (4), or (6) of this subsection, timely filing of a proof of claim, unless such creditor had notice or actual knowledge of the case in time for such timely filing; or (B) if such debt is of a kind specified in paragraph (2), (4), or (6) of this subsection, timely filing of a proof of claim and timely request for a determination of dischargeability of such debt under one of such paragraphs, unless such creditor had notice or actual knowledge of the case in time for such timely filing and request;" So, even if the judgment is incorrectly listed, if the creditor had notice or actual knowledge of the bankruptcy in time to act before the bankruptcy case was over, then the judgment is probably still discharged. There is also case law that says that a debt which was inadvertently not listed or incorrectly listed in a Chapter 7 "No Asset" case is still discharged if it would have been discharged had it been listed (though not all Courts subscribe to this view). However, it is my understanding that an unlisted debt in a Chapter 13 is not discharged since that creditor didn't have the opportunity to file a Proof of Claim and get some of their money back. In Chapter 7 cases, debtors who miss a creditor may also file a motion to reopen their case and add creditors they missed or listed incorrectly so long as those debts were incurred before the bankruptcy case wad filed and still get those debts wiped out. The Bankruptcy Court charges (as of 2/11/05) $155.00 to reopen a case and $26.00 to add creditors, plus there's usually additional attorneys fees to do this. Please note that nothing in this posting or in any other posting constitutes legal advice; this is simply my understanding of the facts, which I do not warrant, and I am not suggesting any course of action or inaction to any person.
How do you get the lien released on your car title after bankruptcy when the car was awarded as exempt property?
Answer If there is a loan for the vehicle it must be paid off before the lender will release the title. The bankruptcy exemption status does not… confer ownership of the vehicle to the BK petitioner unless the vehicle was already owned free and clear. It simply indicates that the car was not subject to BK procedure.
Answer In most places a car, as in one single car, is usually exempt from bankruptcy to allow one to travel to work, school and family errands. More than one car would …not be allowed, unless there were two people working that needed to get to work. The car has to be reasonable... a particularly valuable one won't qualify. And of course, if it is financed, the debt won't be excused to just leave you the car.
There is a perfectly good laundry list of bankruptcy exemptions in Arizona, and you can find them easily. Just go to the U.S. Bankruptcy Court website, and look at the… FAQs (the frequently asked questions). Those come in three clumps, and the second one is "debtor questions"; that's what you're looking for. Go to question 15, and there's a nice, official list of Arizona Bankruptcy Exemptions. Enjoy! And if you want to see a discussion of Arizona bankruptcy exemptions, and most topics associated with Chapter 7 bankruptcy cases in Arizona, feel free to go to my bankruptcy blog. I'm Joseph C. McDaniel, and I'm an Arizona bankruptcy lawyer.
As found on at least 100 other places here...and allowed certain modifications (albeit minor overall) in different states. Exemptions under Federal law, which may chang…e a little in State applications by the Federal BK Court you file in: Personal and Real Property: (1) Household: Up to $425.00 per item not to exceed a total of $8,625.00 (includes animals, appliances, books, crops, furnishings, household goods, clothing, musical instruments) (2) Jewelry: Up to $1,075.00 (3) Vehicles: Up to $2,575.00 (4) Work tools (implements, books and tools of trade): Up to $1,625.00 (5) Health aides (wheelchair, etc.): Unlimited (6) Burial plot: Up to $16,500.00 (in lieu of real estate exemption) (7) Real estate (house, co-op or mobile home): Up to $16,150.00 (8) Any property: Up to $8,075.00 of unused portion of real estate exemption Wages, Pensions, Recoveries and Benefits: (1) Wages: None (2) Wrongful death funds: Amount needed for support (3) Personal injury funds: Up to $16,500.00 (excluding that for pain and suffering or pecuniary loss) (4) Lost earnings payments: Unlimited amount (5) Retirement benefits: Amount needed for support (6) Alimony / child support: Amount needed for support (7) Unemployment compensation: Unlimited amount (8) Veterans benefits: Unlimited amount (9) Social security benefits: Unlimited amount (10) Public assistance: Unlimited amount (11) Crime victims compensation: Unlimited amount Insurance: (1) Disability: Unlimited amount (2) Unemployment benefits: Unlimited amount (3) Unmatured life insurance: Unlimited amount (4) Life insurance policy loan value, dividends or interest: Up to $8,625 (5) Life insurance proceeds: Amount needed for support If you're doing a Chapter 7 bankruptcy, you can't discharge: * Taxes and tax liens * Student loans * Domestic support obligations (child support and alimony) * Luxury goods over $500 purchased within 90 days of filing * Fines or penalties of government agencies * Cash advances of more than $750 taken within 70 days of filing * Fraudulent debts * Willful or malicious injury to another * Death or personal injury from the operation of a motor vehicle, aircraft or vessel while intoxicated * Condominium or cooperative association fees * Debts not listed on your schedules Debts arising from fraud or maliciousness are not automatically excepted from discharge. The creditor must make a request to the court to except these types of obligations; otherwise they will be discharged.
The way or origin of how you got it is unimportant. What it is carries. A gift of your dinning room table or work tools are exempt - because these things are exempt. A g…ift of your boat, vacation house, lear jet, still wouldn't be.
Usually, people do a couple of things when they are considering this option. Firstly, they may talk to some close friends and/or browse the net. The trouble with each of t…hose methods is that the information is generally imprecise and relatively generic. There are no two situations the same, as everyone has a distinct set of financial scenarios that must be considered in this process. Visit my profile/site for more information about bankruptcy.
If you mean exemptions of personal property, as opposed to real estate, yes, but they depend on state exemptions or federal exemptions in states that allow a choice of state o…r federal exemptions. Consult a local bankruptcy lawyer for specifics for your state.
What is considered bankruptcy exempt property If you are a trustee of a realty trust is that property considered your asset?
There is a difference between something that is your asset and something that is not. Exemptions only apply to assets. Whether the realty trust is your asset depends… on the trust instrument and your state law. In most cases, if the property was yours and you put it into a realty trust, and you are the trustee and the beneficiary of the trust, there is no legal trust, merely the form of a trust. If it is a true trust, then the question becomes, are you a/the beneficiary and what is your share of the value of the trust? That is an asset. If it is a true trust but it is a revocable trust so that you get the trust property on revocation, that will probably be an asset to you also. This is a complex area of law, and you really need to have an experienced trust/bankruptcy lawyer look everything over.
Under Illinois Bankruptcy laws, the homestead exemption includes farm lot & buildings, condominiums, personal property or cooperative. These homes can be owned or leased. They… can be up to $15,000, including the proceeds of sale for one year.
Becuase the various types of BKs are broken down into chapters in the BK code
Can a second mortgage be crammed down in a Chapter 13 bankruptcy proceeding if the mortgaged property is in a revocable trust and the mortgagor is technically the trust itself?
No, because the property would be considered to be property of the trustor and not the "trust itself". Moreover, while in certain situations a 2nd mortgage can be stripped (in… a process caleed lien-stripping), there is no cramdown on primary residence real property. While a cram-down on non-primary residence real property is POSSIBLE, it is IMPRACTICAL.
This is based on whether your particular state follows the federal exemptions or if only state exemptions are allowed.
No, the BK Trustee is to be notified of any inheritance received within 6 months of filing BK (even if you have already had your BK case discharged and closed). Short answer- …no, you dont get to keep it unless you receive it more than 6 months from filing BK.
If the property was claimed as exempt the trustee has 60 days to either exempt or reject the contract. If nothing is done then the contract is automatically rejected and the t…enant is considered a holdover tenant. If you exempted the property the property reinvests in the debtors name and thus the rents should follow as the debtor is the only one with standing to collect the rents. That is not to say the trustee will not try hard to stand in your way though.
Can you use tenancy by the entirety to protect property during bankruptcy when using federal exemptions or can it only be applied when state exemptions are used?
Any interest in property, no matter how you hold title, has to be disclosed for possible payment to creditors.