Many people who otherwise qualify for bankruptcy put it off longer than they should because of their worries about what assets they can keep during or after bankruptcy. Will they have to give up or liquidate valuable possessions such as the following?
- A home with a mortgage
- A motorcycle
- An ATV, boat or other recreational vehicle
- Household goods: furniture, tools, books, dishes and clothes
- Stocks and bonds
- Retirement accounts
If someone needs to file bankruptcy and puts it off too long, creditors may get judgments. Ultimately, the judgments may lead to bank account levies, wage garnishment and seizure of possessions.
In contrast, when someone files Chapter 7 or Chapter 13 bankruptcy, personal possessions are protected until and unless the trustee for the bankruptcy court asks the debtor to liquidate some particular assets.
Bankruptcy Asset Protection Attorney in Arizona
The answer to the question — what can you keep? — is spelled out clearly in Arizona state law. In bankruptcy, exemptions — what the debtor gets to keep — are specified in Arizona statutes as follows:
- Real estate that you live in
- Up to $4,000 in household items such as furniture
- Up to $150 in a bank account
- Reasonable dollar value's worth of books, clothing, wedding rings, animals, a musical instrument and a wheelchair
- A motor vehicle with up to $5,000 equity
- Other assets including prepaid rent and insurance policies
- Retirement accounts
Some bankruptcy filers use the federal exemptions and some use the Arizona exemptions as are briefly summarized here. In practical terms, most clients of The Roll Law Office, PLLC, find that they are able to keep most or all of their assets when filing Chapter 7 bankruptcy. Certainly, their fears are much worse than reality as it plays out.
"What Assets Can I Keep?" Ask an Arizona Bankruptcy Lawyer
Stop foreclosure, stop repossession. Stop losing sleep over financial troubles. Contact an asset protection lawyer with ample experience and knowledge. For personalized advice regarding Arizona bankruptcy and exemptions, please contact us today to set up a free consultation with an attorney. We look forward to discussing with you how Chapter 7, Chapter 13, or Chapter 11 bankruptcy or debt negotiation can help you put an end to your worries.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.
