How Bankruptcy Exemptions Work
Did you ever wonder if you will lose your property if you file bankruptcy? Can you keep your home, your car, your household goods? What about your clothes and jewelry?
The part of bankruptcy law that tells us what you can keep while using bankruptcy to get rid of debts are the bankruptcy exemption laws that apply in your case. Exemptions are a strange part of bankruptcy law in that different rules apply depending on where you file your case. Your state may have its own exemption statute, or it may use the federal statute, or it may allow you to choose one or the other.
In the examples shown in this video, I refer to Georgia law since I work and practice in Atlanta, The rules that apply in your state will be different and you should always seek advice from an experienced lawyer in your city or town.
If your attorney does not understand how exemptions work, you could end up in the wrong type of bankruptcy, or you could lose property that should be protected. Similarly, if you have recently moved into a new state, your lawyer will have to advise you about the correct exemption laws to use.
Finally, be very aware that information about bankruptcy exemptions published on the Internet may be outdated or inaccurate. In this video, I show you an example of outdated exemption rules published by a well known and well respected legal publisher.