What Are Bankruptcy Exemptions?

Our firm has bankruptcy law offices in many different cities throughout the state of Oregon, including Medford, Grants Pass, Coos Bay, Bend, and Portland. If you are filing for a Chapter 7 bankruptcy in the state of Oregon, you are required to surrender certain types of property to a bankruptcy trustee so it can be liquidated. However, in many cases, there is no property that can be liquidated, because many forms of property are exempt for bankruptcy purposes.

 

In Oregon, you have the option of using the federal exemption, or the state exemption. However, you cannot flit from one to the other depending on the piece of property that is in question. The most significant exemption involves your home or any real property that is eligible for a homestead exemption. Call us today do discuss which exemption law would best apply to your situation.

 

Personal property is exempt with rather modest limits. For example, as much as $1800 worth of clothing, jewelry, and other apparel items would be exempt. If you have a piano, some artwork, and/or a book collection, the exemption is $600. Furniture and other assorted household items are exempt with a limit of $3000. A single firearm would be completely exempt if it is not worth more than $1000.

 

Additionally, Social Security payouts, individual retirement accounts, and pensions are included under the exemption umbrella. Any money that you may have in a health savings account would be untouchable, and alimony payments and the tools of your trade would be exempt as well. In addition to the exemptions that we have itemized here, there are a number of others.

 

Now is the time for action if you have been thinking about filing for bankruptcy. As you can see, you are not necessarily forced to give up everything that is important you in return for a fresh financial start. If you would like to discuss your situation with a licensed bankruptcy attorney, call us at 1-800-682-9568 to set up a free, no obligation case evaluation.