What happens to inheritance in bankruptcy? 10 Answers as of May 17, 2011

My mother died 2 and a half years after I filed chapter 13 bankruptcy. It isn't a large amount, maybe 16 thousand. Will I have to give it to my bankruptcy?

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Law Offices of Michael J. Berger
Law Offices of Michael J. Berger | Michael J. Berger
Any inheritance that you receive prior to or within 6 months of the filing of your bankruptcy petition is property of your bankruptcy estate. Whether or not you can keep all or part of the inheritance depends on the amount of the inheritance and the amount of your available exemptions. For free help with this, call me for a free consultation.
Answer Applies to: California
Replied: 5/17/2011
Financial Relief Law Center
Financial Relief Law Center | Mark Alonso
Depending on what percentage you are paying to your unsecured creditors, the inheritance may be considered property of the bankruptcy estate. You should speak with an attorney as it also depends on where you live and the laws of your jurisdiction.
Answer Applies to: California
Replied: 4/29/2011
Mercado & Hartung, PLLC
Mercado & Hartung, PLLC | Christopher J. Mercado
If you receive an inheritance within 180 days after filing for bankruptcy, that money or property might have to be turned over to your creditors, unless it qualifies for an exemption.
Answer Applies to: Washington
Replied: 4/20/2011
Bankruptcy Law office of Bill Rubendall
Bankruptcy Law office of Bill Rubendall | William M. Rubendall
Do you have a Chapter 13 attorney? Your inheritance should be okay if your Chapter 13 is confirmed.
Answer Applies to: California
Replied: 4/20/2011
Greifendorff Law Offices, PC
Greifendorff Law Offices, PC | Christine Wilton
You need to contact your bankruptcy lawyer, if you have one.
Answer Applies to: California
Replied: 4/19/2011
    Indianapolis Bankruptcy Law Office of Eric C. Lewis
    Indianapolis Bankruptcy Law Office of Eric C. Lewis | Eric Lewis
    If your Chapter 13 is still ongoing, you will need to report this to your lawyer and the Trustee. If you are paying less than 100% to allowable claims, it may be that the Trustee will want you to pay a higher dividend.
    Answer Applies to: Indiana
    Replied: 4/19/2011
    Janet A. Lawson Bankruptcy Attorney
    Janet A. Lawson Bankruptcy Attorney | Janet Lawson
    This varies as it depends on what your order of confirmation says. Ask the the trustee or your lawyer.
    Answer Applies to: California
    Replied: 4/19/2011
    Law Office of David P. Farrell
    Law Office of David P. Farrell | David Farrell
    It likely will be treated as property of the bankruptcy estate and used to pay your creditors. If an attorney represented you in your chapter 13 case, call them. If not, speak to an attorney immediately.
    Answer Applies to: California
    Replied: 4/19/2011
    Bankruptcy Law Office of Robert Weed
    Bankruptcy Law Office of Robert Weed | Robert Weed
    The bankruptcy court can get to money left to you from someone who dies within 180 days (6 months) of the bankruptcy being filed. I can imagine some Chapter 13 trustees trying to fight for money inherited later as an unforeseen change in your income. Your lawyer should be lined up to be ready to fight that. Are you in a three year chapter 3 or 5. If it's three, it may never come up.
    Answer Applies to: Virginia
    Replied: 4/19/2011
    The Law Office of Mark J. Markus
    The Law Office of Mark J. Markus | Mark Markus
    If you are paying less than 100% to your unsecured creditors, you will likely have to contribute the amount of inheritance you receive to your Plan. This may depend on the actual terms of your Plan and the Order confirming it, as well as the rules of the courts in your jurisdiction.
    Answer Applies to: California
    Replied: 4/19/2011
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