What are exemptions in a bankruptcy petition? Exempting property from your petition to discharge debt does not mean you walk away from the debt, but get to keep the house and car. Under Chapter 7 bankruptcy, you will be expected to repay the debt on the exemptions you claim, and continue monthly payments under the original terms of the loan.
When you file for bankruptcy, not all of your debts on personal property have to be included in the petition for discharge. Under Florida law, and some federal laws, petitioners are allowed to keep unlimited equity in their home as an exemption from assets. In addition, you are also allowed to exempt up to $1,000 of equity in your car and another $1,000 of value in personal property such as jewelry and artwork. Renters who cannot claim equity in a home may be allowed to exempt up to $5,000 in personal property. All qualified retirement funds, such as 401(k) and IRAs are also fully exempt.
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There are a lot of myths about bankruptcy out there. Start the process by getting the straight facts from a bankruptcy specialist certified by the American Board of Certification. The Golden Law Group has earned recognition throughout the Florida Central Gulf Coast region for our effective, efficient representation that helps people get a fresh start from debt. Learn more about exemptions, debt discharge and debt relief. Contact the firm to arrange a free, no-obligation consultation with an experienced Brandon bankruptcy lawyer today. The firm has offices in Brandon, Bradenton and Tampa to serve communities throughout Sarasota County, Manatee County and Hillsborough County, including Sarasota.