Bankruptcy is a very serious legal matter that should not be taken lightly. However, it can provide significant financial relief to an individual who is faced with overwhelming debt. One of the concerns that many individuals have about filing for bankruptcy is the idea that they may have to surrender their possessions. Depending on the individual’s situation, they may have to surrender some of their possessions while others may not have to surrender anything. This matter is a case by case basis because each person’s bankruptcy is a different situation.
There are certain exemptions that an individual may benefit from that exist to allow them to keep certain property in a bankruptcy. In a chapter 7 bankruptcy, the individual may be able to have $10,000 worth of property exempt from repossession. In addition to the $10,000 cap, the debtor will be able to keep their wedding rings, televisions, and in some cases, life insurance policies and annuities. If the individual does not have more than $10,000 in property, they will be able to keep everything. It is also important to note that New Jersey allows federal bankruptcy exemptions.
Chapter 13 bankruptcy often allows individuals to keep all of their property because the debtor is on a repayment plan.
If you have questions about bankruptcy in New Jersey, contact our firm today.
Our firm understands that so much of your future is on the line in matters of divorce, family law, bankruptcy, and estate planning. Before taking any sort of legal action, it is important to discuss your legal matter with an experienced attorney. Contact The Radol Law Firm to discuss any divorce and family law matters you may be faced with.