Basics Of Bankruptcy Exemptions

: Chris Lee Law Firm

  Filed under: Bankruptcy Exemptions

The bankruptcy process is designed to be a tool of help for those struggling with debt. One of the many benefits bankruptcy can offer is the chance to resolve debts with minimal cost to you. Although some of your assets could be used to satisfy payments to creditors, most of your valuables are protected under bankruptcy exemption laws.

State and Federal

According to the bankruptcy code, debtors filing bankruptcy can protect certain assets from liquidation under either a federal exemption or one provided by the state. Debtors can choose which of the exemption laws they want to claim protection under, the only differences being the different level of protections.

For example, Texas bankruptcy exemptions are some of the most forgiving in the country. In Texas, debtors can exempt their home up to an unlimited dollar amount. Compared to the value cap of $ 125,000 the Texas exemption is very generous. Texas also offers a greater value in personal property protection compared to other states and the federal exemptions, such as $30,000 for a single adult, and $60,000 for a family. This includes everything from furniture and clothing, to vehicles, antiques, tools and motorized vehicles.

Are you a candidate for bankruptcy?
Would you like to find out if bankruptcy is the right option for you? Try our Free Online Bankruptcy Evaluation. 4 easy steps to see if bankruptcy could be the right option for you!
  • Step 1
  • Step 2
  • Step 3
  • Step 4
Please Select Each Box That Applies To You
Creditor Harassment
Loss of Income
Disability or Illness
Current Expenses
Auto Loans
Credit Cards
Medical Bills
Payday Loans
Do you have any additional information you would like to share?
Contact Information