Property You Keep
How much property you keep when you file bankruptcy San Diego, is dictated first and foremost by your applicable exemptions. Exemptions refer to what property you keep when you file for bankruptcy relief. Exemptions are a set of laws that list out how much equity you can retain in your home, how much equity in vehicles you can have, how much money you are allowed to keep in your bank accounts, and what other assets you can hold on to when you file bankruptcy.
Property You Keep When You File Bankruptcy San Diego
In most cases, with the help of a lawyer, you will be able to keep most or all of your property. This includes homes, cars, furniture, clothing, personal effects, retirement accounts and most other types of assets. In fact, in most cases, after assessing your financial situation, your lawyer will inform you that:
- You can keep your home.
- You can keep your car.
- You can keep bank accounts.
- You can keep your retirement account.
- You can keep your social security benefits.
- You can hold on to your household goods and other personal effects.
Whether you will be able to keep your business when you file for bankruptcy San Diego, depends upon the nature and amount of assets owned, and debts owed, by your business. If your business owns too many assets under bankruptcy law standards, then your lawyer will advise you, in advance, that you cannot keep your business. Make sure to discuss all of the details of your business with your attorney so you can receive an informed legal opinion.
Whether or not you are permitted to keep your rental property, depends upon your circumstances, including whether you are behind on your payments, whether your rental property is cash flow positive or cash flow negative, and a good faith test.
When you file bankruptcy, timeshare interests that you hold are treated much like a real estate or car lease, you can usually elect to assume the contract and keep your timeshare interest.
If you have one or more life insurance policies and your policy has cash or surrender value, you can protect a certain amount of the cash value by utilizing your exemptions. A generous amount of cash value in a life insurance is permitted under both California and Federal law.
If you own a liquor license for your San Diego County business, your liquor license is critical to the running of your business and sustaining your livelihood. Legal treatment of your liquor license in bankruptcy depends upon whether you file under Chapter 7 or Chapter 13, and, quite often, the level of experience of your bankruptcy attorney in preparing and presenting your case to the court.