New York Bankruptcy Exemptions

Every state has laws that delineate what you are allowed to keep as your own in a bankruptcy case. No matter how much you owe, these laws protect certain property from your creditors, called "exemptions." Exemption systems vary from state to state. There is also a federal exemptions system which some states allow their residents to use. In New York, the laws were changed in 2010 which allow you to use either the New York state exemption system or the federal exemption system. You cannot, however, use parts of both or mix or match these exemptions in any way. You can also freely use the federal non-bankruptcy exemptions which protect federal items such as veteran's benefit and military retirement accounts.

The exemptions will play a part in any Chapter 7 petition. They will also play a part in a Chapter 13 repayment plan in determining how much you will repay your creditors. For those who are married, they can double the amount of their exemptions when filing for bankruptcy jointly. A typical example of exemptions is the New York homestead exemption. In Kings, Queens, New York, Bronx, Richmond, Nassau, Suffolk, Rockland, Westchester, and Putnam Counties, that exemption is $150,000. A homestead exemption protects the equity in your home, condo, co-op, or mobile or manufactured home. This is an automatic exemption, meaning that you do not have to file any type of declaration in order to include it in your bankruptcy case. The exemption amount is different for other counties in the state.

Other New York exemptions include those relating to your car or truck, other property, along with a wild card exemption which can apply to any property or asset.

Debt Negotiation and Bankruptcy Firm Serving New York

Many people in New York and throughout the nation have taken advantage of the state and federal laws regarding bankruptcy during the recent recession. These laws standardize bankruptcy procedure with the goal of giving the honest debtor a fresh start. Bankruptcy may not be right for everyone which is why it is important to consult with a trusted attorney who can inform and guide you into a suitable debt relief plan based on your circumstances.

Jacoby & Jacoby has been doing just that since 1964 with proven results. The legal team has more than 50 years of combined experience in bankruptcy and debt relief. They have successfully completed more than 15,000 bankruptcy cases, eliminating millions of dollars of debt for New York clients. They serve Nassau and Suffolk counties with offices in Medford, Shirley, East Meadow, Central Islip, and Fresh Meadows, providing legal services for Chapter 7, Chapter 13, loan modifications, debt negotiation, and other alternatives to bankruptcy. Contact their offices to schedule a free case evaluation. Get the knowledgeable information you need to regain control of your finances.