When you file for bankruptcy, there are some things you have the legal right to protect. In nearly every case, bankruptcy does not leave a person penniless and without any personal belongings. Debtors are allowed to keep some property that enables them to make a fresh start once their bankruptcy is complete. To benefit from these exemptions, property must be listed as exempt on a bankruptcy application, which is something your bankruptcy attorney can help you do when you file.
Exemptions are usually determined by state law, though in some states, debtors have the option of choosing whether they want to use their state’s exemption criteria or the federal criteria. Florida is not one of those states and anyone filing for bankruptcy in Florida must use the state exemptions.
Federal Bankruptcy exemptions include homestead, motor vehicle, jewelry, household goods, tools of the trade, and exemptions related to life insurance, health aids, domestic maintenance, personal injury awards, social security, veterans benefits, disability and public assistance, and compensation received as the victim of a crime. There are also exemptions related to retirement accounts, education IRAs and pre-purchased tuition credits, and a generous wild card exemption.
Florida State exemptions are similar the federal exemptions, but the specific amounts vary from the federal amounts. The state is also known for its generous homestead benefit that allows bankruptcy filers to exempt an unlimited amount of value in their home or other property covered by the homestead exemption. The only restriction is the property cannot be larger than a half-acre in a municipality or 160 acres elsewhere, and the filer must have owned the property for 1,215 days prior to the bankruptcy filing
If you have questions about Florida bankruptcy exemptions or you would like to know more about the difference between Florida and federal exemptions, we can help. Contact the Law Offices of Robert M. Geller at 813.254.5696 to discuss your situation and to learn how bankruptcy can help you.
Facing financial struggles can be overwhelming, especially when debts include complex legal obligations like restitution.…
Receiving a judgment against you in a lawsuit can be a distressing experience. This is…
Dealing with back taxes can cause a lot of stress and financial burden for anyone…
Many people wonder whether or not an estate, such as the one left behind after…
If you've successfully navigated the bankruptcy process and received your discharge papers, congratulations are in…
The potential loss of your house when filing for bankruptcy depends on various factors. These…