When you file for bankruptcy, one of the first questions most of our clients ask is, “Will I lose my house or car in bankruptcy?” There is a risk that you will lose certain assets during the process. However, there are protections in place to help you keep the important assets. Your home and your car are the two most notable examples of this. While every case is different, most bankruptcies close without losing both assets.
Transcript:
“Yeah, so one of the most important questions we ask as attorneys is what are your assets. We’ve got to figure out, do you own real estate? Is your name on anyone else’s real estate? Is someone else driving a car under your name? Because we have to make sure that you have assets that we can protect. Because when we do a Chapter 7 bankruptcy, we are more limited in the assets that everyone can keep. You can keep equity in your house, but you probably aren’t going to be able to keep your cabin if it has any equity in it. There are limited assets in a Chapter 7 that we would have to make sure are protected if you do that type of bankruptcy. If you have other types of things, a second property, multiple vehicles, a boat, that’s when maybe we have to look at a Chapter 13 bankruptcy which allows you to keep all your assets, but it’s a payment plan. Depending on people’s assets, we want to make sure that you aren’t losing your assets, but we’ve got to pick the right bankruptcy for you.”
It’s important that you learn more about how bankruptcy works to get a better understanding of what happens to your home and your car in the process. Watch this video from the experts at Kain + Henehan, bankruptcy attorneys in St. Cloud, MN, for clarification on what you can expect to happen to your assets.
Work With Bankruptcy Attorneys for Better Results
Every bankruptcy is unique, which makes it a good idea for you to work with a bankruptcy attorney to get the best results in your case. Work with Kain + Henehan to benefit from our expertise and experience in safeguarding assets in bankruptcy. Call Kain + Henehan, bankruptcy attorney in St. Cloud, MN, at (612) 438-8006 or fill out the online form so we can work through this process together.
