Colorado Legal Solutions | Stephen Harkess
Talk to your bankruptcy attorney. Whether cash is exempt or not depends on the source of the cash. In Colorado, you can exempt 75% of cash that is from wages or earnings. However, if the cash is from another source, it may not be exempt at all. In many states a wild card exemption will shield some of these assets, but Colorado does not have a wildcard. You should discuss these issues with your bankruptcy attorney - preferably before the case is filed - if you want to keep the Trustee from taking the cash and using it to pay creditors.
Answer Applies to: Colorado
R. Steven Chambers PLLC | R. Steven Chambers PLLC
Cash is not exempt. Cash can be turned into exempt assets, for example by purchasing food (food storage is exempt), a new washer, dryer, refrigerator, or any other item for which an exemption exists. Cash can also be contributed to an IRA and an exemption claimed for that. However, there is a fine line between legitimate exemption planning and bankruptcy abuse. Your best bet is to consult with an attorney about what you can do and how much cash you can convert to exempt assets.
Answer Applies to: Utah
Mankus & Marchan, LTD | Tony Mankus
In Chapter 7 bankruptcy you must list all your property and other assets, including cash, in the property schedule(s) A and B. You claim any exemptions in schedule C. Cash can be included under the general exemption which, in Illinois, is up to $4,000.00 for an individual and $8,000.00 for a husband and wife if they file jointly.
Answer Applies to: Illinois
Edward Papa, Esq. | Edward Papa
You should provide your bankruptcy attorney with a full inventory of your assets and let him/her determine which exemption to use for each kind of exempt property. If you are trying to do this yourself, think again because it is easy to leave assets unprotected and you face losing otherwise exempt assets. You'll need to choose between either the NY exemptions(some are available in NY Debtor and Creditor law and some under NY CPLR - you need to state which law you are using to exempt each property) or Federal exemptions. This is why an an attorney is a smart investment because he/she will look at your total situation and advise the best approach for your particular situation.
Answer Applies to: New York
Ethan Myers Law Firm PLLC | Ethan Myers
Filing for bankruptcy involves answering questions and compiling information on various forms. Some of the forms are numbered and identified by their respective number such as Form 1. Form 2. other forms are called Schedules (those which are usually lists of items belonging to different categories), like Schedule A, Schedule B and so on. Different chapters require some forms and some schedules but not others, for example in a ch-7 case, Form 1, Form 6, and Form 7 (among others) will be used, but not Forms 2-4. also in a chapter 7 as with a chapter 13 Schedule A, B, C, D, E, F, G, H, I, and J will be used. Okay to make a long story longer, Schedule A is for Real Property, Real Property is legalese for property that's grounded usually unmovable like a house a condo or a plot of land. Schedule B is for Personal Property, Schedule B Personal Property is for almost all other property that a person has that isn't land. like a chair or a bank account or a pet (yes as far as the law is concerned, Mr. Pickles the fire cat, is personal property). You see, Personal Property isn't necessarily personal, its just property that isn't the kind of property that you would list on Schedule A. For example, a funeral plot would be listed in Schedule A while a 1/3 ownership in a house cleaning business would be listed in Schedule B. And now we're almost there.... I promise. Your cash would most likely be listed on Schedule B, with all of you're other Personal property. AND it will also be included in Schedule C. Schedule C is for property that is claimed as Exempt. In Texas an individual can list up to $30,000 in assets as exempt. ($60.000 if filing jointly) Most of these property exemptions can be found in the Texas Property Code Tex. Prop. Code section 42.001(a) (1-?). But remember the aggregate (total amount combined) personal property limit is capped at $30,000 ($60.000) respectfully. And this next part is important So Read Closely Because it might be a big benefit to you. So if you have a car you can claim it as exempt under 42.002(a) (9) of the Tex. Prop. Code. How much of an exemption you get to claim for that car depends on what the value of the car is, (Kelly Blue Book value), after you subtract what is still owed on the car. For example if the car is worth $10,000 (if you were to sell it today), but you still owed $5,000.00 to the bank before it was paid in full, then you've only used up $5,000 of your $30,000 ($60.000). In other words you could then list other assets (personal property) that you owe, up to the remaining $25,000 left. Had you not subtracted the amount of the car that the bank still had an interest in you would incorrectly think you only had $20,000 more in personal property exemptions available thus possibly losing out on $5,000 more of exempt property and risk having a Chapter 7 Trustee sell that property to help pay your creditors down. So your cash is listed on the form called: Schedule B Personal Property and then again it gets listed on a form labeled, Schedule C Property Claimed as Exempt, probably using Prop code 42.001(a) (_) and 42.002(a) (_). But be careful to make sure that the cash does not put you over the $30,000 (filing single) or $60,000 (filing with a joint debtor) limit. If a question is asked about the Cash, it's more likely going to be questions about where it came from to make sure you are not trying to fraud any creditors. For example if you took cash advances on all of your credit cards then tried to file chapter 7 bankruptcy that probably wouldn't fly. Hope this helps
Answer Applies to: Texas
Ashman Law Office | Glen Edward Ashman
Your question tells me that you are trying to file pro se. Don't. An attorney will know how to work and present your exemptions to maximize them so you lose as little property as possible. That will more than pay for your legal fees.
Answer Applies to: Georgia
Financial Relief Law Center | Mark Alonso
You can list the property you exempt on your petition on schedule C. You need to make sure that you have enough in exemptions to protect your cash. You should refer to CA state exemptions on Cal Civ Pro Sec 703 & 704, which will give you the property and amount of equity in the property that you can exempt.
Answer Applies to: California
Melinda Murphy Dionne, PC | Melinda Murphy Dionne
Under Alabama Law, you are entitled to exempt a total of $3,000 per person. In an individual case you must use your $3,000 to cover all personal property including cash, household goods, equity in vehicles, jewelry, guns, and any other item of personal property that you own. In a joint case (husband & wife), you have $6,000 in personal property exemptions. You are entitled to select the items you wish to claim as exempt. You could be asked about your exemptions; however, that would be a very rare occurrence.
Answer Applies to: Alabama
Ross Smith, Attorney at Law | Charles Ross Smith III
I answer your question reluctantly. You need to study on this a little more. You sound like you need an attorney. But here goes. You list your personal property assets on Schedule B. All of them. Including cash in pockets, bank accounts and your right to receive a tax refund for your 2011 tax return. Yes, 2011. You don't know how much it will be so list it as value "unknown." Don't forget to list cars and furniture and clothes, life insurance, dogs and cats. List pets as "No value." If you have IRAs, 401ks , the right to receive SS or a pension, or child support or alimony, list them too. List every thing you have and every right you have. Read the list of questions on Schedule B carefully. By the way, your real estate, if any, goes on Schedule A. Now, you list all of your assets from Sched A and Schedule B again on Schedule C. This is the list of your exemptions. After you have listed all of your asssets on schedule C, try to find a statutory exemption for each asset. In Ohio you can exempt $400.00 cash and right to receive cash. Your spouse can also exempt $400.00 if they file with you. If you have a big tax refund coming you could lose a major part of it. You can also use your "wild card" exemption to choose up to $1,115.00 of items off Schedule C to exempt. So can your spouse, if she filed with you. You will need a list of all of the allowable exemptions for cars, furniture, clothes etc. This can be found on the internet. Don't worry,the trustee does not want your clothes or furniture in most cases. Proper use of exemptions is important. It a big part of why you pay your attorney to prepare a bankruptcy. We only lose assets for our clients deliberately. well most of us. Get a good attorney and work with them. Good luck.
Answer Applies to: Ohio
Symmes Law Group, PLLC | Richard James Symmes
Under the Federal Exemption you may exempt cash under the Wild Card Exemption. If your state does not have a Wild Card Exemption you may not be able to exempt that asset. You should check with a bankruptcy attorney in your jurisdiction.
Answer Applies to: Washington