If I file for bankruptcy, will I lose my property?
Simple answer. No. If you file for Chapter 7 bankruptcy in Maryland, you will not lose all of your proprety, in fact, you will not lose any of your property. This is possibly one of the biggest misconceptions about bankruptcy in Maryland. When you file, you can protect a certain amount of property and still eliminate all of your debt. In Maryland, you can keep $21,650.00 of equity in your home (which is alot, because most houses are under water right now), and an addtional $12,000 of various other property. Property is valued at yard sale value, so most people do not have more than $12,000 worth of property that they could sell at a yard sale. If you are married, the amount doubles. Most pension and 401(k) plans are completely exempt, which means you can keep them all.
If you have any questions about Chapter 7 or Chapter 13 bankruptcy in any part of Maryland (Baltimore, Glen Burnie, Columbia, Towson, Silver Spring, Rockville, Catonsville, Dundalk, Essex, Annapolis, Pasadena, Severna Park, Odenton, Severn, Pikesville, Ellicott City), call us today for a free consultation. Our number is 1-800-NEW-START.