If you’ve been considering filing for bankruptcy in New York, you may be interested in knowing what items you own that could be exempt from your bankruptcy claims. Bankruptcy courts know that starting from scratch won’t help you. Because of this, there are many exemptions that you may be able to claim.
For instance, did you know that if you have personal property like cash or bank accounts, you may be able to keep up to $1,000 as a single person? What about your vehicle? In most cases, you’ll be able to keep a vehicle worth $4,000 or less as a single person, or if you’re disabled, you may keep one that’s worth up to $10,000.
Living in your home is important to you, and the bankruptcy courts know that you need somewhere to stay throughout this time in your life. Fortunately, New York has relatively high homestead allowances. Your primary residence can be exempt from bankruptcy proceedings as long as it’s under $125,000 and you’re located in one of the select countries listed, either Orange, Saratoga, Ulster, Albany, Dutchess or Columbia. If you’re located in other counties, you’ll only get an exemption of $75,000, so keep that in mind when you’re arranging to file for bankruptcy.
There are other things that could be exempt, too, like your clothing or food for your pets. Your wedding ring can be exempt from bankruptcy claims as long as it’s worth less than $10,000 if you’re filing as a single person. Your work tools and books may also be exempt to a certain degree. With so many potential exemptions, it’s important that you review New York’s exemption laws, so you make the most of your bankruptcy.
Source: We The People, “New York State Bankruptcy Exemption List,” accessed April. 15, 2015by