Can I Keep My Boat If I File A Chapter 7 Bankruptcy?

In a bankruptcy, a trustee collects all the nonexempt assets and sells or liquidates them to pay creditors. Nonexempt assets are not protected under bankruptcy laws – meaning they can be sold to repay the filer’s debts.

Examples of nonexempt assets may include but not be limited to:

  • A vacation home
  • Extra real estate holdings (property)
  • A boat
  • A house or other residential property that’s not your primary home
  • Expensive musical instruments not used professionally by the debtor
  • A valuable stamp collection
  • A valuable coin collection
  • Investments not in retirement accounts
  • Valuable artwork
  • Expensive clothing
  • Jewelry
  • Any asset with equity that is not covered by the allowable exemptions

Each case is different, and therefore what may be nonexempt versus exempt may vary. If you are thinking about filing a Chapter 7 bankruptcy, it is strongly advisable to discuss your situation with an experienced bankruptcy attorney at Melaragno, Placidi & Parini.

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