BK Ch 7 Indiana questions

[indatucky]

We're about to file Chapter 7 in Indiana and we have a few questions. We own our house (100k) and two newish cars (total 30k) and we are letting it all go and starting over completely fresh (the plan at least-don't know if it will be allowed). The only thing we will have after the bk is our personal belongings...or so we hope.
1. My husband has a 4-wheeler that he bought in 2003 that is paid for. Where does that fall when you're adding up your personal property?
2. How much personal property are you allowed to have-money wise?
3. The only expensive jewelry I have is my wedding set and it was over 3000 when we bought it...can they take it?

Please help we're hopelessly confused!

[justbroke]

1. My husband has a 4-wheeler that he bought in 2003 that is paid for. Where does that fall when you're adding up your personal property?

I believe it could be exempted under the $8,000 wildcard exemption. Basically, almost all property is rolled up into this single wildcard exemption of $8,000. I don't believe that you can double this if you're married and filing jointly.

2. How much personal property are you allowed to have-money wise?

$8,000 (see above).

3. The only expensive jewelry I have is my wedding set and it was over 3000 when we bought it...can they take it?

There is only one wildcard exemption for all personal property ($8,000 see above).

Please help we're hopelessly confused!

Indatucky... sounds like Pennsyltucky. You know, Pennsyltucky, that part of Pennsylvania where you're unsure if you're actually in Pennsylvania or Kentucky.

[justplaintired]

I am in Indiana and actually after alot of reading on this forum, Indiana is pretty fair. If you are below the median income, and pass the means, you will be exempt on $8K which can be doubled if you are married. So, that gives you an exemption of $16K for a couple.

Cash on hand the day you file is $600. Money in the bank in other words. So add up what you own, find out what that 4 wheeler is worth, not sure how to do that, but there has to be a blue book value similair to a car. Don't forget to include household items too. Unless you have some great antique furniture I doubt your furnishing will come close to what you are allowed. We were actually allowed to exempt 3 late model cars, not collectible cars, just cars with high miles we own outright and all our household items. We even have a house we are doing a ride thru on, we had a $30K exemption on the homestead exemption which we fell well below on equity by well over $20K.

Far as rings, they will most likely fall in the exemption too. I have a ring little over 1/2 carat and it was exempt. So you should be fine. Not sure if you have done the means test, but it is easily found on here. We did the means test even before we saw an attorney, it was helpful to know what he was talking about when we finally decided on which attorney we were going to use. Indiana is a generous state in many ways, not as generous as some, but alot better then others.

Good luck!

http://www.legalconsumer.com/bankruptcy/nolo/state.php?st=IN

Here's the means test if you haven't done it yet.

[mlsmket7]

So...as far as the exemptions. I am filing in IN without a home, (I pass the means test), and will have ~4k in the bank give or take.

Will that $4k be taken, or should I spend it beforehand?

Thanks,

Mike

[justplaintired]

So...as far as the exemptions. I am filing in IN without a home, (I pass the means test), and will have ~4k in the bank give or take.

Will that $4k be taken, or should I spend it beforehand?

Thanks,

Mike

You are allowed a wildcard of $8K per person, now whether or not you can exempt that with the wildcard I don't know, I would advise asking your attorney if you have one. If you don't, then there is a good way to spend that money. Have you found a place to rent? If not then figure out what your rent along with deposit will run. I assume you have included rent? I think at this point I would consult with an attorney and get some good advise.

I only know the day we filed our attorney needed to know our exact balance in the bank. To the penny and it had to be below $600. So I am guessing $4K won't work. But I am not an attorney.

I am not an expert by any means on BK in Indiana, I just spent endless hours researching before we filed. So my best advise, do the same. I am unsure of your time frame on filing. If you were to spend that money, for instance pay your attorney in full, make sure he will handle all your collection calls, that was a must for us with our attorney. That will buy you a little time to use that money and keep receipts. Dental visits, eye exams, car maintance. We personally held off filing for way longer then most 1 1/2 yrs, but we had an attorney handling all our calls. We were told to keep receipts for last summer's stimulus and for our tax refund this year. The trustee never asked, but we had them and still do until this is over with.

What district are you? We are in the southern district.

[sdbird101]

So...as far as the exemptions. I am filing in IN without a home, (I pass the means test), and will have ~4k in the bank give or take.

Will that $4k be taken, or should I spend it beforehand?

Thanks,

Mike

I always recommend asking an attorney as there may be rare specifics in your case that would change it for the better. While you are allowed $8,000 of personal property per person, you are only allowed $300 of intangible