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Will I Lose Any Property If I File Chapter 7 in Dc?
The best way to determine if you’ll lose any of your property is to speak with a qualified and experienced attorney. We can advise you as to what your rights are and how the bankruptcy process will go. Lee Legal is totally up front with our clients. We will let you know what property you can keep and what might have to be sold if you file for Chapter 7 in Washington DC.
Will I Lose Property if I File a Chapter 7?
Chapter 7 sometimes requires you to turn over some property to the bankruptcy trustee to be sold, or “liquidated.” But there are certain kinds of property that are considered exempt. Exemptions exist on the federal and state level. Familiarity with an individual jurisdiction’s rules is critical.
However, in most cases, property that is considered exempt and that you can keep during a bankruptcy filing includes:
- Most or all of your home equity
- Tools of the trade, or equipment and material necessary to conduct your business
- Cars that are not worth a lot or that you have very little equity in
- Some personal property up to a designated dollar amount
- Money in an IRA, 401K or other qualified retirement account
These are just a few of the different kinds of property that you get to keep even when you file for Chapter 7. It is important to note, though, that you may keep property only if it is not acting as collateral for secured debt and/or if you are able to get and stay current on repaying the secured debt.
In other words, if you have a mortgage on a house and a loan on a car, you can keep the house and the vehicle only if you get current on your mortgage and car loan and you make payments in full as required. You’ll need to reaffirm the debt and promise to pay it despite the bankruptcy filing. If you cannot or will not make payments to keep this exempt property, then you will not be able to keep it.
We help people file for Chapter 7 in Washington DC, Maryland, and Virginia
Exemption planning is an important part of what we do. Lee Legal can help you devise a plan to protect as much of your property as possible before you file a Chapter 7 bankruptcy. Call us if you are concerned about asset protection prior to filing Chapter 7.
They Called. They're Glad They Did.
Brian Lee from Lee Legal was an amazing attorney to work with. He took his time, reviewed my documents and we discussed my situation thoroughly. He explained the process and my options as well as gave his recommendation. Not only did he assist, but he ensured that I knew this...
I was very nervous and scared about going through this process. But Brian was very knowledgeable and helped me through it. I was notified about any and all updates to my case and he was very responsive when I had questions regarding any concerns I had. Although a bit nerve...
Brian provided me with a very detailed analysis about my potential case after our first consultation. He promptly responded to all my complex questions, especially navigating student loans and some tax discussions. He is very professional and experienced at what he does, I would...
I've had the pleasure of working alongside Brian V. Lee for several years, and I can say without hesitation that he is one of the most knowledgeable bankruptcy attorneys in the DMV area. Brian's command of Chapter 7, 11, and 13 practice is exceptional, and his clients in the DC...
Brian has the amazing talent of taking complicated legal matters and distilling them down to seamless, frictionless resolutions. He is a phenomenal problem solver and a trusted advisor.
Brian is both warm and professional. He helped me navigate a financial issue that I had not been looking forward to working on and he made the entire experience non-stressful, receiving a lot of anxiety I had around the matter. He is straight forward and a fantastic problem...
I had the opportunity to work with Brian at a time when I was challenged by a professional setback and forced with the challenge of making some very difficult legal decisions. Additionally, I worked with him again as I was dealing with some financial issues pertaining to my...
Still several years from Public Service Student Loan Forgiveness and saddled with significant student loan payments in proportion to my income, I came to Lee Legal to explore the bankruptcy path. Through his counsel, Brian took the fear out of the process and helped me to...
