Exempt and Non-Exempt Assets in Florida
Bankruptcy Exemptions: What Property Can You Protect?
One of the most common questions our attorneys receive from new clients and potential clients is, "Which assets am I allowed to keep in bankruptcy?" While some of your property and investments will have to be liquidated during the process, the state of Florida allows debtors to exempt certain items in Chapter 7 bankruptcy. However, because you are able to establish a payment plan in Chapter 13 bankruptcy, this process with give you even greater freedom in selecting which items you would like to protect.
Contact our Jacksonville bankruptcy lawyers to discuss exempting assets in bankruptcy.
Chapter 7 Exemptions in the State of Florida
The state of Florida is among the most liberal in the nation with regard to what you are allowed to retain during a Chapter 7 bankruptcy.
- Your home if the equity you have in it does not pass a certain threshold (ask your attorney if your home qualifies)
- A modular or mobile home regardless of the value
- $1,000 in personal property
- Up to $1,000 in equity in your car
- Child support and alimony payments that you are receiving
- Roth IRAs, 401(k)s, and other retirement plans up to a specific dollar amount
- Personal injury settlements you may be receiving from an employer
- Veterans benefits
- Some pensions
Chapter 13 Exemptions in the State of Florida
Under Chapter 13, you can keep your house, your car, and other property that is being used to secure debt. You will, however, have to catch up and maintain your payments on any items that you exempt from the bankruptcy proceedings. Some of your property must be sold to pay back unsecured debts, like credit card debt.
This is due to the fact that your payment plan will not completely remunerate all creditors, and they must be able to recover some of their losses via the liquidation of your assets. Our bankruptcy lawyers can assist you in prioritizing the assets that you regard as the most important and we will establish a workable three to five year payment plan that will be accepted by the courts.
Request a FREE Consultation with Our Jacksonville Bankruptcy Attorneys
If you have any concerns about which of your assets would be exempt or non-exempt in a Chapter 7 or Chapter 13 bankruptcy, contact Owenby Law, P.A. for a FREE, 30-minute consultation with a bankruptcy attorney in Jacksonville, FL.
