Washington State Bankruptcy

There is a Washington State bankruptcy exemptions chart that will let you know which property and items you will be able to keep when you file for Chapter 7 and Chapter 13 bankruptcy in Washington State. In most cases, items on the exemption chart will not be liquidated in a Chapter 7 bankruptcy up to the dollar amount listed. In Washington State, you also have the option of using federal exemptions instead of or in conjunction with the Washington State bankrupcty exemptions.

The equity you have in the property is what will be compared to the exemption amount. For example, if you have a truck with a blue book value of $15,000, but you still own $7,000 in it, then that property has an equity value of $8,000. If you are current on your loan payments for a particular property, then that property will be exempted from your Washington State bankruptcy liquidation as well. In some situations, the bankruptcy trustee may decide to liquidate this asset to help pay your debts, but you will be paid the maximum exemption amount of the property.

Couples that file jointly will each be allowed a full set of exemptions, except in specific circumstances . Your lawyer or the Washington State bankruptcy trustee assigned to your case will let you know this information. The exemptions can be very confusing and there are many choices between the Wasington State bankruptcy exemptions and the federal exemptions. To decide your full entitlement and what you must liquidate, you will want to consult carefully with your lawyer so you fully understand what you can keep and what you must surrender.