How Bankruptcy Works in Your State
Tuesday, April 23rd, 2024
How Bankruptcy Works in Your State & County
Welcome! Give us your zip code, and we will serve up bankruptcy information tailored to your State and County.
How to File Bankruptcy In Your County
- Chapter 7: How Does Chapter 7 Bankruptcy Work in My State?
- Chapter 13: How Does Chapter 13 Bankruptcy Work in My Zip Code?
The Bankruptcy Means Test Calculator
- Free Means Test Calculator: Free! Online since 2006! Over 3 Million Served.
Updated with latest (April 2024) income & expense standards. - QuickTest: Get a rough take on where you stand.
- Current Median Income Limits For Chapter 7 For All 50 States
- Expense Standards Allowed For Your County
- (relevant only if you exceed your state's median income)
50-State Asset Protection Laws:
State & Federal Bankruptcy Exemptions
When you file, you must cite specific laws to claim your property as exempt. We help you find those citations and tell you where to put them on your forms
- Schedule C: How to claim property as exempt
- State Exemptions
- w/Federal Non-Bankruptcy Exemptions
- Federal Bankruptcy (§522) Exemptions (available in 19 states)
What Property Can I Keep In My State?
State laws vary widely regarding how much of your property is "exempt" from the reach of creditors. Some states are "debtor havens." Others, not so much.
Learn how much asset protection you get under the laws of your state for various kinds of property:
- Your Home (Homestead Exemption)
- Personal Property:
- Retirement Accounts & Pensions
- Public Benefits
Bankruptcy Court Information
- Which court do I use? Bankruptcy is a federal law, so you use Federal Court?
- Where is it?
- Court Rules:
What You Need to Know About Before You File - Who is my Trustee? Why Does it Matter?
The Trustee is the court-appointed person you'll deal with if you file. (It won't be the judge). And with all rule-based bureaucracies, your experience will depend significantly on which bureaucrat you deal with. Trustees have a reputation in each district. One thing you'll gain from an experienced local bankruptcy lawyer is knowing the reputation of the local trustees in your court district.
Bankruptcy Forms & Instructions
- Downloads: Where can I download free bankruptcy forms for my court?
- Which Forms Do I Need? Which Ones Can Ignore? You don't need them all. We'll tell you which ones you need.
Bankruptcy Lawyers Near Me
- How can I find a good local bankruptcy lawyer near me?
- What should I expect from a bankruptcy attorney?
Note: This website is updated as time permits. It is up to you to contact your local court and confirm and update any information you need. Information is not advice. See a bankruptcy lawyer for advice about how the law relates to your situation.
If Bankruptcy is a Federal Law, Why Does it Matter What State & County I Live In?
Although bankruptcy is a federal law, many parts are affected by state law.
For example, State collections law can affect which property you can lose or keep when you file for bankruptcy because the bankruptcy court trustee is vested with the power of a local creditor.
State Exemption Laws - What property you get to keep
State property exemption laws -- laws which protect certain essential property from debto collectors -- vary widely from state to state.
States like Nevada have decided to become a debtor haven and offer huge exemptions for motor vehicles and real estate, while other states like Pennsylvania offer minimal exemptions for property.
And then there are the legendary "unlimited homestead" states of Texas and Florida, where celebrities often move when faced with bankruptcy to invest unlimited amounts in a house they get to keep even if they go bankrupt.
With the passage of the 2005 bankruptcy law (BAPCPA), congress tried to stop that behavior by putting a 2 1/2 year limit on residency before you can claim your state's exemption.
The Housing Expense Allowance On the Means Test Varies By As Much As 5X From County to County Within Each State
Even within a state, your county is relevant as it affects how much you can claim as housing expenses in the bankruptcy means test.
Housing expense allowances in every state vary widely.
It is common for expensive urban counties to have housing expense standards 5X larger than those of the poorest counties.
Generally, urban counties get a very high expense allowance for housing, and rural counties have much lower housing expense allowances in the means test.
To help untangle this overlapping mesh of federal and state law, combined with local expense standards, LegalConsumer.com's "Bankruptcy By Zip Code" website has provided free, location-based bankruptcy information and a free means test calculator that has served more than 10 million consumers since 2006!
