What happens when you file for bankruptcy? Will the government take your house away from you?
Jan Meriss Alfonso Assistant at Ascent Law LLC When filing for bankruptcy, you can't expect to lose your home. However, there are some exceptions. For example, you don't have to pay any deficiency judgments. Also, the government doesn't have to take your house if it's past its redemption date. While you may want to hold onto your house for emotional reasons, you may not be able to keep it financially. Exemptions from liquidation Bankruptcy laws protect property owned by a debtor during the bankruptcy process. However, if you do not have an exemption on a piece of property, you may lose it once you file for bankruptcy. However, if you are honest about your financial situation, you may be able to keep it throughout the process and after the case is over. Several exemptions protect assets from liquidation. While some assets are completely exempt, others are only exempt up to a certain dollar amount. If your asset is worth less than the amount you've designated as the...