Chapter 7 Bankruptcy in St. Augustine
St. Augustine Bankruptcy Lawyer
Chapter 7 is one of the most common forms of
bankruptcy; it liquidates the debtor's assets to pay off creditors. In a Chapter
7 bankruptcy, the court will forgive an individual's debts and have
his or her non-exempt assets liquidated. Non-exempt assets are property
that is not protected by law. Florida has specific laws on what can and
cannot be taken. If you have questions or require legal guidance through
this process, speak with our
St. Augustine lawyer at once.
Florida does not allow its residents to use the federal bankruptcy exemptions
because it has specific exemptions of its own. In order to use Florida
bankruptcy exemptions, you must qualify under the residency requirements.
You must be a resident of the state for a minimum of 730 days before filing
in order to qualify for the exemptions.
In Florida, the court cannot take a debtor's house because the equity
in the home is protected under the Florida Constitution. An unlimited
amount of value in your home can be exempted based on the generous homestead
exemption that Florida offers. You can also exempt:
- Personal property up to $1,000
- Education, health, and hurricane savings
- Prescribed health aids
- Motor vehicle equity up to $1,000
Additionally, up to $750 per week of the wages of the head of a family
are fully exempt. If the debtor does not use the homestead exemption,
up to $4,000 of personal property can be considered exempt.
How do I qualify?
In order to determine if you qualify to file under Chapter 7 bankruptcy,
you will need to first take the means test. This test assesses your income
compared to the median income for households in Florida as reported by
the Census Bureau. The means test will evaluate whether your monthly income
is less than or greater than the median for the state. If you do not qualify,
you may be able to file under
Contact the Albaugh Law Firm today for legal guidance from our St. Augustine bankruptcy attorney!