What happens if you file bankruptcy in Washington State?

What happens if you file bankruptcy in Washington State?

Washington law protects all or a portion of your property from being seized by creditors or the bankruptcy trustee in a Chapter 7 bankruptcy. In a Chapter 13 bankruptcy, you are generally allowed to keep all of your assets and property.

Can You Keep your property in a Chapter 7 bankruptcy?

In a chapter 7 case, you can keep all property which the law says is “exempt” from the claims of creditors. Washington exemptions provides list of the exemptions available for Washington. In determining whether property is exempt, you must keep a few things in mind.

What happens to jointly owned property in an individual bankruptcy?

Even if you are filing an individual bankruptcy, all community property becomes property of the bankruptcy estate because each spouse is deemed to own the asset in its entirety. This means that unless you can exempt the entire community asset, it can be taken and sold in Chapter 7 bankruptcy.

What’s the difference between Chapter 7 and Chapter 11 bankruptcy?

Chapter 7 is known as “straight” bankruptcy or “liquidation.” It requires a debtor to give up property which exceeds certain limits called “exemptions”, so the property can be sold to pay creditors. Chapter 11, known as “reorganization”, is used by businesses and a few individual debtors whose debts are very large

The means test measures your income and debt. The outcome will determine which chapter you’ll need to file to discharge (erase) debt. Chapter 7 bankruptcy. If your household income is lower than the median income of your state, you can receive a discharge in a Chapter 7 case.

What happens to my bankruptcy case when I get a discharge?

This is referred to as a no-asset Chapter 7. In a “no asset” bankruptcy case, when the court enters the discharge, the trustee files a report with the court stating that there were no assets to administer. Then, in most cases, the court enters an order closing the case. At this point, the case is no longer active.

What are the bankruptcy rules in the Western District of Washington?

The procedural aspects of the bankruptcy process are governed by the Federal Rules of Bankruptcy Procedure (the “Bankruptcy Rules”). The Court also follows its own Local Rules for bankruptcy cases and adversary proceedings administered in the Western District of Washington.

Can a Chapter 7 bankruptcy discharge be revoked?

In Chapter 7 bankruptcy, the trustee or a creditor can file a complaint alleging that the court should revoke a discharge, and the court will withdraw it if you: obtained the discharge through fraud that the requesting party didn’t discover until after discharge

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