Alabama Bankruptcy
Considering filing bankruptcy? Chapter 7 bankruptcy was designed to eliminate debt. Talk to an Alabama bankruptcy attorney about your options today.
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Filing Chapter 7 Bankruptcy in Alabama
Regardless of where you live in Alabama – whether it’s Birmingham, Mobile or somewhere else – you should know about the state’s bankruptcy exemptions if you’re considering filing Chapter 7 bankruptcy.
Having an Alabama Chapter 7 bankruptcy lawyer on your side can be a great resource from whom to learn which of your items may or may not be exempt from Chapter 7 liquidation.
Alabama Bankruptcy Laws
As an Alabama Chapter 7 bankruptcy lawyer can tell you, Chapter 7 bankruptcy is often referred to as liquidation because the bankruptcy trustee has the option of liquidating or selling your non-exempt assets in order to pay back your unsecured debts, whether they’re credit cards, medical bills or something else.
But most people who file Chapter 7 bankruptcy don’t have any non-exempt assets, so there’s no liquidation and that they are able to keep their property.
Alabama Bankruptcy Exemptions
If you live in Alabama and are considering filing Chapter 7 bankruptcy to discharge your unsecured debts and get a fresh start, you’ll want to know which and how much of your items may be exempt from liquidation.
The following information provides a nice introduction to Alabama Chapter 7 exemptions – for more information and insight, get in touch with an Alabama Chapter 7 bankruptcy lawyer.
As your Alabama Chapter 7 bankruptcy lawyer can explain to you in more detail, important Chapter 7 bankruptcy exemptions in the state include:
Homestead: Real property or a mobile home up to $5,000 in value is exempt. The Alabama homestead exemption cannot exceed 160 acres.
Wages: 75 percent of earned but unpaid wages are exempt from liquidation in Alabama. The bankruptcy judge may authorize more for low-income debtors.
Vehicles: No specific amount.
Personal Property:
- $3,000 of any personal property.
- Clothes, family pictures and family books are exempt.
Questions? Talk to an Alabama Chapter 7 Bankruptcy Lawyer
As you can see, Alabama exemptions can be quite specific. An Alabama Chapter 7 bankruptcy lawyer can help you understand how they may be applied to your case.
To have us connect you with an Alabama bankruptcy lawyer in your area as soon as possible, fill out our free bankruptcy case evaluation form. Get started today.
Note: Keep in mind all laws are complex. If you need legal advice or want to fully understand how these laws affect you, please speak with a local attorney.
Laws may have changed since our last update. For the latest information on your state’s bankruptcy laws, speak to a local bankruptcy lawyer.