What are the most common Arizona Bankruptcy Exemptions.
If you're struggling with overwhelming debt and considering bankruptcy in Arizona, you may be wondering how much of your property you'll be able to keep. Fortunately, Arizona has some generous bankruptcy exemptions that can help you protect your assets and get a fresh start.
Here are some of the most common types of Arizona bankruptcy exemptions:
Homestead Exemption: The homestead exemption is one of the most important exemptions for individuals filing for bankruptcy. It allows you to protect up to $400,000 of equity in your primary residence.
Personal Property Exemption: Arizona bankruptcy law provides a personal property exemption that allows you to protect up to $15,000 worth of personal property. This can include things like clothing, furniture, appliances, and other household goods.
Vehicle Exemption: Arizona also has a vehicle exemption that allows you to protect up to $15,000 worth of equity in your vehicle.
Retirement Account Exemption: Retirement accounts, such as 401(k)s, IRAs, and pension plans, are generally fully protected in bankruptcy. This means that you can keep all of your retirement savings, no matter how much you have.
Tools of the Trade Exemption: If you use tools and equipment in your work, you can protect up to $5,000 worth of these items under Arizona bankruptcy law. This can be especially important for individuals who are self-employed or work in a trade.
Bank Account: You are allowed to exempt one account with up to $5000 in it on the day you file a bankruptcy.
It's important to note that these are just a few of the most common types of Arizona bankruptcy exemptions. There are many other exemptions available, and the amount and types of exemptions that apply to your case will depend on your individual circumstances.
If you're considering bankruptcy in Arizona, it's important to work with an experienced bankruptcy attorney like Mortensen Law Offices who can help you understand your options and protect your assets.