Wedding Ring In Illinois?

[bullsnike]

Hello,

My wife and I are getting ready to file for ch 7 (or 13 if we have to) and i don't know what to do about our situation.

My wife's wedding ring is worth approx $20,000 (probably would fetch around $6000 at auction). This ring is something that has been handed down in my family for over 100 years and we are worried that if we file ch 7 we will lose it. My question is, since my parents gave us the ring and since there is no actual paperwork trail showing that we own the ring (it is not insured and has not been apprased), as long as my wife doesn't wear the ring (only her wedding band which isn't worth anything), is there a chance that the trustee would find out? Also if we disclosed the ring, what are the chances it will be taken and is there any exemption besides the wild card (which would have to be used on my car) that would cover the ring.

Our situation is as follows. We have a meeting on the 23rd with a lawyer and plan on filing that day. Total unsecured debt around $36000. Secured Debt $6000. We rent and do not own a home.

Approx $3600/mo income (pre tax/deductions) $2200/mo after deductions
$700/mo rent
$100/mo pet costs
around $120/mo average electric ($200 in summer and $50 in winter)
$80/mo phone/internet
$120/mo cell phone
$120/mo car insurance
$150/mo gas
$200 car payment (car was repoed on May 27th. looking to be sold some time after the 18th according to the letter, but we had 30 days from the date of the letter to claim our property inside so I'm thinking that we can block the sale if we get bankruptcy filed next week. Someone wanna chime in on thoughts on this?)
$200/mo student loan payments starting at the end of july (I realize these won't be discharged)
Misc expenses (food, entertainment, clothing, etc...) - $300-$450/mo

Please help me understand what I can expect. I'm completly lost.
Also will we get any use from the homestead exemption at all without a house?

Thanks!

[OHBOY]

Wow.... a 20K ring...I wouldn't let my wife out of the house with it on her pinky without insurance...knowing her she would either lose it, or pawn it (!).

I have an 'inkeling' that this site would frown on condoning the disappearance (non existance) of the ring, hence I would go as far as saying that : you need to do what you need to do...

I am not familar with Illinois exemptions, so you need to look them up, but I would think that it's unlikely that you'll get 'use from the homestead exemption without a house'....
(though in FL one can get 4K exemption if not taking the homestead exemption...)
I just wouldn't hold my breath in Illinois

[debtinohio]

You have a wildcard in IL:

Any personal property except wages: up to $4,000 total.

Use it to protect the ring whos pawn-shop value is probably $4000 :-)

[AlmostAmos]

What ring?

[debtinohio]

[aaskybabe]

You need to ask your attorney if wedding rings are exempt.

In the nolo book, "The New Bankruptcy, will it work for you?" on page 128 the section, Nonpurchase Money liens lists property that is exempt without regard to your equity in the property. And it specifically includes wedding rings under household goods that are exempt.

Good luck

[StartingOver08]

I don't see any wedding ring exemption at all for IL.

Take a look at the exemptions here: http://www.legalconsumer.com/bankrup...=IL#exemptions

[aaskybabe]

I believe wedding rings are considered personal effects, which falls under "household goods." It's not considered jewelry...But you need to check with an attorney.

[SMinGA]

As is true with other exemptions, it depends on the state... Some states specifically say that wedding rings are exempt. Others give an amount for jewelry that is not part of the common household goods. Still others put all possessions into one category.