3 Important Types of Bankruptcy Exemptions to Remember

Chapter 7 bankruptcy is the most common type of bankruptcy filed for by individuals in the United States. Chapter 7 lets debtors liquidate many of their assets in order to repay creditors. Many people believe they will lose everything if they file for Chapter 7 bankruptcy, but that is simply not the case. There are several important exemptions in place to let debtors keep property deemed “necessary” to everyday life.

It is imperative to understand the details of bankruptcy exemptions so you can keep as much property as possible. Fortunately, you do not have to go through this trying time alone. By consulting with a qualified legal representative, you can make sure you keep as much property as possible. Contact an Arizona bankruptcy attorney of the Harmon Law Office today at 480-829-0494 to learn more about Arizona bankruptcy exemptions.

Three Bankruptcy Exemptions You Should Not Forget

There are a number of different exemptions available to those filing for bankruptcy, but there are three especially important exemptions that you should never forget. Three of the most important exemptions are:

1. Your Home

Like the majority of states in the U.S., Arizona provides protection for equity in the family’s home. In Arizona, you may exempt real property, an apartment, or mobile home up to $150,000.

2. Your Benefits and Insurance

You need benefits and insurance to protect you in the future. Arizona lets you exempt your life insurance as well as retirement funds and pensions.

3. Your Paycheck

There are two parts for exempting your paycheck. In Arizona, you can qualify for a wage garnishment exemption that lets you exempt 75% of weekly net earnings that you have not yet been paid or 30 times the federal minimum wage if you are paid hourly. You may also exempt tools of the trade, or anything you need to work or run your business up to a certain amount.

An Arizona bankruptcy lawyer can help you determine which exemptions apply to your situation, so you can protect as much property as possible.

Contact Us

If you are facing bankruptcy in Arizona, our knowledgeable legal team is ready to help you. To get the exemptions you need, contact an Arizona bankruptcy attorney of the Harmon Law Office today at 480-829-0494 and schedule your free consultation.