Ohio Senate Bill 281: Increased Exemptions a Welcome Change

[keepmine]

Posted September 24, 2008

Ohio Senate Bill 281 (“SB 281”) will become law in Ohio on September 30, 2008. This is good news for those in Ohio seeking bankruptcy protection. The most important aspect of SB 281 is that it increases several exemptions available to those filing for bankruptcy. What this means is that SB 281 increases the dollar value of certain property that an Ohio resident filing for bankruptcy may exempt from their creditors. Two of the most significant changes are large increases to the primary residence and automobile exemptions:

The exemption for the debtor’s property used as their primary residence increases from $5,000 (current law) to $20,200 (under SB 281).

The exemption for one automobile increases from $1,000 (current law) to $3,225 (under SB 281).

Ohio Senate Bill 281 also includes other increases to exemptions for recoveries for personal injuries, household items and more. If you are considering bankruptcy, you should contact an attorney to learn more about Senate Bill 281 and how it could help you keep more of your assets in bankruptcy.

Cleveland Bankruptcy Lawyer Blog
Published by Justin M. Smith

http://www.clevelandbankruptcylawyerblog.com/2008/09/

____________________

Good news for Ohio residents. Looks like the homestead exemption has been increased to $20K:

[WKSB50]

i have a 30,000.00 home equity loan also. and we owe 20,000.00 on home which is worth $70,000.00 in ohio. would i be able to file chapter 7 and keep home? THANK YOU

[JRScott]

If I understand you correctly then yes you could exempt the remaining 20k.

70k - 30k -20k = 20k

I'd get a current appraisal for the house.

[BMC]

Home Exemption

For a married couple would this $20,200.00 exemption for a residence be per person, so effectively would it be $40,400.00 if married?

[tay666]

Wow.
Those are some huge increases.
Who knows, by the time this takes effect, we may actually be able to afford to file as well.

[OhioFiler]

For a married couple would this $20,200.00 exemption for a residence be per person, so effectively would it be $40,400.00 if married?

According to my attorney this may not be doubled to $40,400 for a married couple.

[tay666]

Another thing I read about this is that the exemption amounts are going to be adjuste periodically based on the Consumer Price Index.
That way we won't be stuck with the same amounts for 30 years like we had been.
Supposed to adjust on April 1 2010 and every 3 years from then on.

[seekininfo]

anyone know about this? I read it WILL be doubled if both are on the deed?

According to my attorney this may not be doubled to $40,400 for a married couple.

[tay666]

According to my attorney, it is doubled.