What is exempt and non-exempt property in a bankruptcy?
A debtor can keep a certain amount of property out of a bankruptcy by claiming it as exempt. Up to a certain amount, this can include, but is not limited to, vehicles, clothing, household goods and furnishings, appliances, some of the equity in a home, unpaid wages, tax refunds, tools needed for your job, pension, jewelry, and public benefits like SNAP or EBT.
Non-exempt property is anything that cannot or does not fall into the “exempt” category. This usually includes, but is not limited to, musical instruments, valuable collections, extra vehicles, and vacations homes.
Your bankruptcy attorney will go through your assets with you and help you determine what is exempt and what is non-exempt.
This information has been prepared for general knowledge purposes and is not intended to serve as legal advice.