Exemptions.

Under Section 522(d) of the U.S. Bankruptcy Code, the following property may be exempted:

1 – $23,675 in the value of your residence;
2 – $3,775 in the value of one motor vehicle;
3 – $12,625 in the value of your household goods (limit – $600 per item);
4 – $1,600 in the value of your household jewelry;
5 – $1,250, plus up to $11,850 in unused residential exemptions, in the value of any property;
6 – $2,375 in the value of your tools of the trade;
7 – the entire value of your un-matured term life insurance contract;
8 – $12,625 in the value of your un-matured whole life insurance contract;
9 – the entire value of your professionally prescribed health aids;
10 – your right to receive various government benefits, alimony, maintenance, and support, and retirement income, but only to the extent reasonably necessary for your support;
11 – your right to receive reparation from various types of damages, but only to the extent reasonably necessary for your support; and
12 – most tax-exempt retirement funds.

These amounts are good for cases filed on or after April 1, 2016.  They are anticipated to increase for cases filed on or after April 1, 2019.

UNDER THE U.S. BANKRUPTCY CODE, YOU ARE ENTITLED TO EXEMPT YOUR ASSETS, BUT ONLY UP TO A CERTAIN DOLLAR AMOUNT:  IF YOUR EXEMPTION EXCEEDS THE VALUE OF YOUR INTEREST IN THE ASSET, YOU MAY KEEP THAT ASSET FROM THE BANKRUPTCY COURT.  IF THE VAUE OF YOUR INTEREST IN THE ASSET EXCEEDS YOUR EXEMPTION, AN OFFICER OF THE BANKRUPTCY COURT MAY SELL THAT ASSET BUT THEN MUST PAY YOU YOUR EXEMPTION FROM THE SALE PROCEEDS.

IF YOUR ASSET IS SUBJECT TO A LIEN (E.G., MORTGAGE LIEN ON REAL ESTATE, LIEN ON THE TITLE CERTIFICATE OF A VEHICLE), YOU WILL ONLY NEED TO EXEMPT YOUR EQUITY INTEREST IN THE ASSET IN ORDER TO KEEP IT FROM THE BANKRUPTCY COURT.  HOWEVER, YOU MAY ALSO NEED TO REAFFIRM YOUR DEBT WITH THE LIEN CREDITOR IN ORDER TO KEEP IT.

THE VALUE OF AN ASSET IS ITS CURRENT RESALE VALUE, AS IS, WHERE IS.

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