What Happens to My Property If I File For Chapter 7 Bankruptcy In California?


It's important to have a good understanding of what will happen to your property if you file for Chapter 7 bankruptcy.



If you file for Chapter 7 bankruptcy you may or may not lose any property, depending on:

  • what and how much you own,
  • how you own it, and
  • what state you live in.

We offer several key articles to help you understand what happens to your property in Chapter 7 bankruptcy:

In a nutshell, in a Chapter 7 case, the trustee's job is to determine if you have any "non-exempt assets" that can be sold for the benefits of unsecured creditors. If not, your case is called a "no-asset" case.

Don't try to hide assets before or after you file for bankruptcy. The bankruptcy trustee can undo any transfers of property you do to family or friends if it you didn't receive full value in exchange. 


Jurisdictional relevance: ST

There are versions of this article for each State.