Property you own is included in your bankruptcy estate unless your Woodlands Bankruptcy Attorney manages to find a legal basis for exempting it. One of the common exemptions people take advantage of is the exemption for retirement accounts. Unfortunately, this exemption is not without limits and a recent case reminds us of the boundaries of this bankruptcy exemption within the federal bankruptcy exemption rules.
Janice Chilton, a debtor in a bankruptcy case, claimed the IRA she inherited from her mother is exempt under ยง522(d)(12). The discussion that follows is limited to the federal exemption for retirement accounts and not the Texas exemption.
Section 522(d)(12) of the Bankruptcy Code allows your Woodlands Bankruptcy Lawyer to exempt “[r]etirement funds to the extent that those funds Read more…
Every three years the federal bankruptcy exemptions are adjusted for inflation. The adjustment for 2010 applies to cases filed on or after April 1,2010. The federal bankruptcy exemptions are:
- Homestead: $21,625
- Vehicle: $3,450
- Household Goods: $11,525 total with no single item exceeding $550
- Jewelry: $1,450
- Wild Card: Read more…
Every Woodlands Bankruptcy filer faces a choice to use the Texas or Federal Bankruptcy property exemptions. They each have their pros and cons. Exactly which exemption rules are better depends entirely on your unique case. Once you choose to use either the Texas or Federal Bankruptcy exemptions you may not be allowed to change your choice later on even if your circumstances change after your case is filed. The wrong choice can result in you losing property that you may have been able to keep through Bankruptcy. That is what happened to the Schellenbergs. Do not let it happen to you, call (832) 426-3913 to speak with a Woodlands Bankruptcy Attorney today.
Background
The Schellenbergs filed a Chapter 13 Bankruptcy petition on February 2, 2009. The purpose of the filing was to protect from foreclosure a horse ranch that the Schellenbergs had built that was to serve as their homestead and horse training business. The Schellenbergs had borrowed $772, 000 from First State Bank of Central Texas (“FSBCT”) on or about August 10, 2006. On the date of their bankruptcy petition, Read more…
Each Woodlands Bankruptcy case has their own timeline. However, there are certain court imposed deadlines that you must meet. Your case can be dismissed if you do not provide the required information to your Woodlands Bankruptcy Attorney in time to meet these deadlines.
Here is what must be taken care of in the first 15 days of your Chapter 7 case. This is the bare minimum, depending on your circumstances additional filings Read more…
Exempt property is the property you can keep in a Chapter 7 case without having to turn over to the bankruptcy trustee. Any property you have that your Conroe Bankruptcy Attorney does not claim as exempt or that does not qualify as exempt is subject to being turned over to the bankruptcy trustee and liquidated to repay debts. Texas law provides for several property exemptions. Today we will examine the exemption for jewelry.
Sections 42.001(a) and 42.002(a)(6) of the Texas Property Code allow an exemption for jewelry not to exceed Read more…
Property you own is included in your bankruptcy estate unless your Woodlands Bankruptcy Attorney manages to find a legal basis for exempting it. One of the common exemptions people take advantage of is the exemption for retirement accounts. Unfortunately, this exemption is not without limits and a recent case reminds us of the boundaries of this bankruptcy exemption within the federal bankruptcy exemption rules.