Legal Question in Bankruptcy in Michigan

Re: bankruptcy fraud

It depends on the type of assets, how title is held, and where they are located. For example, in my state, you can have $125K equity in your home, $500K in retirement benefits, unlimited amounts of disability benefits, child support and alimony benefits. Plus quite a bit of household furniture, $4,500 in a motor vehicle, etc.

If an asset was disclosed and exempted, it will be in the petition. It is not fraud as long as it is disclosed. If it is not in the petition, and is property of the debtor (not a trust or other beneficial interst), you can inform the trustee.

In addition, under a chapter 13, you can keep all property if you make payments under an approved plan for 3-5 years.