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Chapter 7 Bankruptcy: Exempt Property: Pensions

Are you contemplating declaring Chapter 7 bankruptcy? Do you have a pension? Many people who are facing bankruptcy and have a pension are worried about the future of their pension. They are concerned with the possibility of all, or a portion of their pension, being taken from them in order to repay some of their debts. However, those with a pension who are contemplating a Chapter 7 bankruptcy can take comfort in knowing that pensions are considered as exempt property. In other words, they are protected and they cannot be taken away from the person declaring Chapter 7 bankruptcy.

Would you like to know more about Chapter 7 bankruptcy and exempt property? Do you have legal concerns regarding your pension? Our bankruptcy lawyers are here to help. Contact a bankruptcy law attorney in your area today for more information about pensions and other exempt property during a Chapter 7 bankruptcy filing.

Our bankruptcy law attorneys help clients with a variety of issues related to pensions and Chapter 7 bankruptcy filings, including but not limited to some of the following:

• Retirement funds
• Annuities
• Structured settlements
• Savings
• Cash
• Social Security payments

Congress completely changed the bankruptcy regulations in 2005. Under these new regulations, almost all retirement account and pension plan funds are classified as exempt property from creditors and collection agencies; in other words, you get to keep them if you declare Chapter 7 bankruptcy. In Chapter 13 bankruptcy, on the other hand, because your retirement accounts are classified as exempt property, they won't impact how much you are required to repay unsecured creditors. To find out more about the role of exempt property in Chapter 13 and Chapter 7 bankruptcy, contact one of our bankruptcy law attorneys today.

Do you have legal questions regarding Chapter 7 bankruptcy and exempt property, such as a pension? Our bankruptcy law attorneys are here to help answer all of your questions and inform you of your rights. Contact a bankruptcy lawyer in your area today for more information.

Did you know?
Even though the money in your retirement accounts are exempt from collection agencies, retirement funds that are paid to you as earnings are not exempt.
In a Chapter 7 bankruptcy, the bankruptcy court is not allowed to take any retirement benefits that are needed for your support, but it could take amounts over and above what you require for your support to repay your accounts.