Legal Question in Bankruptcy in Florida

I am contemplating filing Chapter 7 bankcruptcy. Our income has been cut more than in half. We are barely making it week by week. We are already attempting a short sale on our home( we are in negative equity by 60K). We have no assests other than 2 vehicles and a boat and they are not payed for. Will they take the vehicles and the boat? What can they take form us? I dont even know where we will live once we sell our home.


Asked on 9/11/09, 12:49 pm

1 Answer from Attorneys
Brent Rose The Orsini & Rose Law Firm

In bankruptcy, you can keep up to $1,000 worth of equity in a car each. So if your cars are upside down, you can keep them. If a car is paid off, the bankruptcy trustee could take it, sell it, and give you $1,000. If a car is worth $5,000, and you owe $4,000, then you have $1,000 worth of equity in the car, and the trustee will not take it.

If you give up your house, you are entitled to $5,000 worth of personal property, including the boat. That means that you can keep all you stuff, including the boat, your TV, your clothes, your furniture, your comuter, up to a value of $5,000 total for both of you (a married couple). Things are valued at Salvation Army prices, not garage sale value, like many people think.

You should speak with a lawyer to learn more.

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Answered on 9/12/09, 10:41 am


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