What are exemptions in a Bankruptcy?
Bankruptcy exemptions are the items and assets that you can keep through the bankruptcy process. These exemptions are deemed necessary for a fresh start in a Chapter 7 clean slate bankruptcy. Bankruptcy exemptions may vary from state to state and change as new legislation is enacted. Then there are also federal bankruptcy exemptions. Figuring out which bankruptcy exemptions to use and how to use them is one of the most challenging parts of filing for bankruptcy. It is difficult because bankruptcy law is a confusing mixture of federal and state law. Although the U.S. Constitution gives the federal government the power to pass laws about bankruptcy, the federal government also gave each state the authority to choose which properties a debtor can keep when he or she files for bankruptcy. The laws protecting your properties from creditors and bankruptcy trustees are called exemptions.
Federal Bankruptcy Exemptions
Federal exemptions can be used by anyone who is qualified to file bankruptcy in a state that allows its residents to use the federal exemptions or by anyone who doe not qualify under residency requirements to use state exemptions. Some of the federal exemptions in bankruptcy include the following: equity in your primary home up to a specific amount, retirement plans needed for support, life insurance up to a cap, disability payments, pets, animals and crops, clothing, some jewelry, books and household goods, appliances and furnishings, musical instruments, a car to a maximum value, some personal injury payments, and alimony and support payments.
Oklahoma Bankruptcy Exemptions
If you are an Oklahoma resident struggling with debt, you are lucky in the fact that Oklahoma has some of the most generous exemptions in the nation and are much better than the federal exemptions. For instances, unlike the federal homestead exemption, Oklahoma’s homestead exemption does not limit the value of the home. For specific details on what property and assets you can keep in an Oklahoma bankruptcy and what the Oklahoma bankruptcy exemptions are call (888) Debt-Line or (888) 332-8564 with speak with a Debt Line attorney.
Free Consultation with Bankruptcy Lawyer
Do you want to know whether you qualify for debt relief under the Bankruptcy Act? Would you like to know the costs and procedures of an Oklahoma bankruptcy? Call (405) 563-7888 for a free consultation with a Oklahoma City bankruptcy lawyer or (888) Debt-Line for an Oklahoma bankruptcy attorney handling bankruptcies statewide. Our attorneys have years of experience in Oklahoma bankruptcy law and in applying Oklahoma bankruptcy exemptions, so that Debt Line Law Office clients can keep their exempt property and still discharge unsecured debts through a Chapter 7 bankruptcy in Oklahoma. With a ten (10) minute, free phone consultation with one of Debt Line’s Oklahoma City bankruptcy lawyers, you can know what you qualify for and the costs and procedures involved.