Illinois Chapter 7 bankruptcy protection offers filers a fresh financial start by liquidating much of their debt while allowing them to hold on to certain assets. Working with an experienced bankruptcy attorney can help Illinois residents eliminate debt and maximize chapter 7 bankruptcy exemptions.
Chapter 7 Bankruptcy Exemptions
Retirement Savings – Typically retirement accounts such as 401Ks and IRAs are exempt in charter 7 bankruptcy meaning that creditors cannot cash in on these savings.
Homestead Exemption – Equity in your family home up to 15K for individual and 30K for married couple is exempt in bankruptcy. IN situations of tenancy of the entirety, where a couples owns a home jointly, all equity may be exempt.
Automobiles – Every one typically needs a vehicle to get back and forth to work. A car or truck up to a certain limit is exempt from bankruptcy.
Personal Property – Individuals and families typically have personal property such as furniture, kitchenware or keepsakes that are often exempt in a bankruptcy
Wild Card Exemption – If there are assets or property that a filer wishes to keep that is not exempt, a wild card exemption allows debtors to exempt property up to a certain amount that would otherwise not be exempt. This may include a vehicle, cash in a savings account, or other assets.
Public Benefits – Workers’ compensation benefits or social security are exempt from bankruptcy.
It is important to work with an experienced Chapter 7 bankruptcy attorney to maximize your bankruptcy exemptions while liquidating debt so that you can gain a strong financial footing. For a fresh start contact Peoria bankruptcy attorney Charles E Covey today at 309-674-8125.