The Room 208 Blog

If you are having extreme financial difficulties and experiencing harassment from your creditors, you may need to consider declaring personal bankruptcy. Ch 7 bankruptcy is considered liquidation of non-exempt assets. In other words, some of your assets are sold for cash to pay off your existing debts. However, many times, debtors do not possess any non-exempt assets.
Most states normally exempt assets such as the debtor’s home, furniture, home furnishings, cars and clothing up to a certain amount. For example, if you are single the amount could be up to $30,000, and if you are married, it could be up to $60,000. In other words, if you file Ch 7 Bankruptcy, you should be able to keep your home, cars and furniture. However, you will still need to make payments if they are owed.