The basic idea behind Chapter 7 bankruptcy is that a debtor’s assets are liquidated in an attempt to pay back creditors. As a result people who are considering bankruptcy may be concerned that they will lose all of their property. Fortunately for people who file bankruptcy the law allows for people to exempt certain kinds and amounts of property from a bankruptcy liquidation. If you are considering bankruptcy you should consult with one of the St. Louis Chapter 7 bankruptcy attorneys of The Westbrook law Group. There are both federal and state exemptions and in some states you are able to choose between the two. Missouri has opted out of the federal bankruptcy exemptions meaning that you may only use the state exemptions. Married couples in Missouri may double the exemptions meaning that each spouse filing a joint bankruptcy may claim the full value of the exemption in any property in which they have an ownership interest. The one exception to this rule is in the homestead exemption. Married couples filing jointly may not double this exemption.
Some of the common exemptions available under Missouri bankruptcy law include:
- Homestead – You may exempt $15,000 of equity in real estate that you occupy or intend to occupy. The amount is reduced to $5,000 for a mobile home
- Maintenance or Child Support – You may exempt $750 in domestic support
- Motor Vehicle – You may exempt up to $3,000 in equity for a motor vehicle
- Household Goods – You may exempt up to $3,000 of items such as appliances, furnishings, clothing, books, crops, animals, musical instruments, or other household goods
- Wildcard – If you are the head of family, you may exempt $1250 in any property. Otherwise, the amount is $600. The head of family may also exempt an additional $350 per child
Contact one of our St. Louis Chapter 7 bankruptcy attorneys today
These are just some of the exemptions available in Missouri, and other exemptions may be applicable to you. In order to determine what of your assets may be exempt you should consult with a St. Louis Chapter 7 bankruptcy attorney as soon as possible. The Westbrook Law Group practices exclusively in the area of bankruptcy law and is dedicated to helping people obtain a fresh start through bankruptcy. In order to schedule a free consultation with Mr. Westbrook contact us today at (636) 483-9231. If you would prefer to email us please complete the contact form available to the right and a member of our staff will be in contact with you soon.