Ohio Law Will Significantly Increase the Bankruptcy Exemption for Home

As stated in last month’s blog by your Dayton bankruptcy attorney, the Bankruptcy Code allows an individual to protect (and therefore retain) some property from the claims of creditors because it is exempt under federal bankruptcy law or under the laws of the debtor’s home state. 11 U.S.C. § 522(b). Some of the current Ohio Exemptions (O.R.C. 2329.66) are listed below:

1) Personal residence = $21, 625 2) Motor vehicle = $3,225 3) Cash = $400 4) Household Items (aggregate) = $10,775 5) Jewelry = $1,350 6) Tools of trade = $2,025 7) Award for personal bodily injury (received within 12 months of bankruptcy) = $20,200.

The first exemption listed above, the exemption protecting equity in a personal residence, will be increased in March 2013 when Ohio House Bill 479 takes effect. On December 20, 2012 the Governor of Ohio signed into law House Bill 479, which contains a provision that increases Ohio’s homestead exemption from $21,625 (current) to $125,000. This increase will protect over $100,000 more of equity in a person’s home. House Bill 479 also expressly provides that 529 plans, and qualified retirmement plans, and Roth IRAs are 100% exempted under Ohio law.

To learn more about bankruptcy, or to discuss your personal financial situation with an experienced Dayton bankruptcy attorney, and/or to schedule a free consultation please contact your Dayton bankruptcy attorney at Helen Wallace, Attorney at Law today by clicking on the preceding link, by e-mail to hw@helenwallacelaw.com or by telephone to (937) 654-6800.

The contents contained in Helen Wallace, Attorney at Law’s Blog and Web Page(s) are for educational and informational purposes only, and shall not be construed as legal or tax advice. The reading of Helen Wallace, Attorney at Law’s Blog or Webpage does not create an attorney/client relationship with Helen Wallace, Attorney at Law. Please consult an Attorney in your jurisdiction (where you live or where the legal action arose) if you are seeking legal advice or representation. Please further be advised that Helen Wallace, Attorney at Law is a debt relief agency and helps people file for bankruptcy relief under the United States Bankruptcy Code.

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