EXEMPTIONS--- PROPERTY YOU CAN KEEP WHEN YOU FILE A CHAPTER 7 BANKRUPTCY ON LONG ISLAND
This article, for individuals considering filing a chapter 7 bankruptcy on Long Island, was
written by Long Island bankruptcy lawyer Alan Pressman
Exemptions are the property you can keep when filing a Chapter 7 bankruptcy. Please note that the exemptions
apply only to individuals filing a Chapter 7 bankruptcy in New York. The following discussion pertains to the
major items of property which Chapter 7 debtors typically have.
House - - you can have up $300,000 equity in a jointly owned house, condominium or co-op and still keep your
house in a Chapter 7. This is known as the New York homestead exemption. The amount of the exemption is
$150,000 per debtor. The house, condominium or co-op has to be your principal place of residence at the filing
of the Chapter 7 in order to claim it as exempt. "Equity" is the value of the house, condominium or co-op at the
time of the filing of the bankruptcy, minus the principal amount owed (at the time of the filing of the bankruptcy)
on any mortgages, home equity loans or home equity lines of credit, and also minus closing costs which would be
incurred in order to sell the house, condominium or co-op. Please note that the above applies to mobile homes
as well.
Cars - - The New York State exemptions allow each Chapter 7 debtor to keep one motor vehicle that is titled in
their name - - as long as the vehicle has $4,000 equity or less. "Equity" is the market value of the vehicle at the
time of the filing of the Chapter 7 bankruptcy, minus the amount of any liens (i.e. car loans against the vehicle)
at the time of filing the Chapter 7 bankruptcy. A disabled debtor can keep a car with up to $10,000 equity-- if
the car is equipped for use by the disabled debtor.
In many cases, Chapter 7 debtors can claim the Federal exemptions rather than the New York State exemptions.
The Federal exemptions are generally claimed in cases where the debtor does not own a house, condominium or
co-op, or where the debtor owns a house, condominium or co-op that has no (or very little) equity. A debtor who
claims the Federal exemptions in their Chapter 7 bankruptcy can potentially keep a motor vehicle that has up to
$15,425 equity.
Retirement accounts - - such as IRA's, 401k's and pensions are typically exempt in a Chapter 7 bankruptcy.
Please note that occasional exceptions apply to the above-mentioned exemptions.
Also, there are additional exemptions beyond those listed above - - i.e. exemptions pertaining to bank accounts,
anticipated tax refunds, household goods, personal injury action proceeds, etc.
When you come in for the free consultation, we will discuss the property which you are allowed to exempt.
Alan Pressman, Attorney At Law
1797 Veterans Highway Suite #22
Islandia, N. Y. 11749
(1/4 mile southeast of the Long Island Expressway, exit 57-- across from the Islandia
Shopping Center)
(631) 234-3883
CALL TODAY FOR A FREE CONSULTATION!
I have been actively handling Chapter 7 and Chapter 13 bankruptcy cases on Long Island
since 1981. My practice is 100% handling bankruptcy cases. I am a solo practitioner and,
as such, will handle your case personally.
Thanks for taking the time to visit my website.
Copyright 2011, Alan Pressman, Attorney At Law
Alan Pressman, chapter 7 bankruptcy lawyer near Rokonkoma,11779; Hauppauge,11788; Bohemia,11716;
Holbrook,11741; Islandia,11749; Central Islip,11722; Brentwood,11717; Islip, 11751; Islip Terrace, 11752;Bay
Shore,11706; East Islip,11730; West Islip,11795; Oakdale,11769; Sayville,11782; Blue Point,11715; Lake
Ronkonkoma,11779; Smithtown,11787; Nesconset,11767; Saint James,11780; Lake Grove,11755; Deer
Park,11729; Commack,11725; East Northport, 11731; Huntington Station,11746; Wheatley Heights,11798;
Wyandanch,11798; Babylon,11705; North Babylon,11703; West Babylon,11704; Kings Park,11754;
Centereach,11720; Holtsville,11742; Medford, 11763; Middle Island,11953; Stony Brook,11790; Coram,11727;Port
Jefferson Station,11776; Patchogue,11772; Brookhaven,11719; Manorville,11949; Yaphank,11980;
Farmingville,11738; Shirley,11967; Mastic,11950; Mastic Beach,11951; Bellport,11713; Center Moriches,11934;
etc. --
serving all of Long Island since 1981
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