If you are considering filing for bankruptcy in Georgia, you should be aware of its specific laws. Georgia’s homestead exemption can protect you from losing your home to creditors. This exemption is doubled for married couples filing jointly. In addition, homeowners can use their homestead exemption for up to $21,500 in equity, doubling to $43,000 if both spouses file jointly. Read on to learn more about Georgia bankruptcy laws and how they can protect you.
A Chapter 7 bankruptcy case typically requires a 341 Meeting of Creditors. This hearing is where creditors and the trustee can ask questions. Generally, these questions will determine whether the debtor can sell assets to pay back creditors. The trustee can also ask whether the debtor has fraudulently transferred property prior to filing. Those who are eligible to file a Chapter 7 must pass a means test. To qualify, a family’s annual income must be less than the median of Georgia. Certain expenses can be deducted, such as mortgage payments.
There are several different types of bankruptcy, so it is important to determine which type is best for you. A bankruptcy lawyer will be familiar with the Georgia bankruptcy laws and will discuss which type is best for your situation. Chapter 7 and Chapter 11 are the most common types, but there are more. It is important to choose the right one, but remember that each one has unique requirements. If you have a large number of assets, it’s better to use Chapter 7 than Chapter 11.
When filing a Chapter 7 case, most unsecured debts are discharged. A trustee sells any non-exempt property. The automatic stay protects you from foreclosure, but it is not permanent. Chapter 7 bankruptcy laws limit you to filing for a second time eight years after your first filing. If you filed for bankruptcy in Georgia, you cannot file for a Chapter 7 case again for eight years. You can use a chapter 7 bankruptcy to wipe out your debts, but you must keep in mind that your home or car will be at risk of being sold.
As a member of the State Bar, you can join the Bankruptcy Law Section. This organization sponsors various seminars, publications, and networking opportunities for bankruptcy attorneys in Georgia. In addition, you can join one of the various committees and volunteer to work on various issues, including continuing education, ethics, and judicial support. Please note that recordings of Bankruptcy Law Section meetings are for informational purposes only and will not count as CLE credit.
Homestead exemptions are limited to the amount of equity that is paid to the debtor in the property. For example, automobile insurance proceeds are not an exemption, as this type of property does not qualify as a residence. However, the wildcard exemption is another way to protect assets during bankruptcy. There are other exemptions to protect your property when filing. Just remember that these laws are only temporary. If you intend to keep it as a permanent residence, you should consult with a bankruptcy lawyer.