The myth that you lose everything if you file for bankruptcy is exactly that, a myth. In reality, bankruptcy filers in Georgia usually get to keep most or all of their important items by declaring them exempt from creditors under state law. If an item qualifies for an exemption, the item cannot be taken by the trustee and sold to repay your creditors.
Georgia law requires residents to use the state’s bankruptcy exemptions. To qualify for these exemptions, you must have lived in the state for least 730 days (i.e. two years) before filing bankruptcy. You can file after living here for as little as 180 days, but you would then need to use the exemptions provided by the law of your previous state of residence.
Here are some of the most-used bankruptcy exemptions in Georgia. The amounts listed will double if you and your spouse both own the item and you file bankruptcy jointly. These amounts are current as of 2022:
You can also use certain federal nonbankruptcy exemptions, which may allow you to keep certain retirement accounts, disability benefits, military benefits and miscellaneous benefits.
Jeff Field & Associates helps people throughout the Atlanta area file for bankruptcy to obtain debt relief without losing everything. If you would like to talk to one of our attorneys, please reach out to us and schedule a meeting in any of our offices: Athens, Douglasville, Gainesville, Lawrenceville, Marietta or Scottsdale. Get your free consultation by calling 404-381-1278 or contact us online.
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