Riverside Bankruptcy Lawyers – Our clients frequently ask us about the homestead exemption, and what it can do for them. The homestead exemption is a public policy that protects a certain amount of equity in your home, even though you are experiencing other financial difficulties. We at the Law Offices of Harold D. Thompson know that people are very concerned about being able to stay in their homes. California’s recent increase in this important exemption will help accomplish that goal, when people file for Chapter 7 bankruptcy protection.
In short, the Homestead Exemption is a way that California law allows you to exempt a portion of the equity in your home in a bankruptcy filing. That equity is exempt from being used to pay your creditors. A recent increase in the exemption, which took effect January 1, 2010, increases the exemption. For unmarried debtors, the exemption is now raised to $75,000, and for married debtors, it has been raised to $100,000.
California law has also changed the exemption for senior citizens and the disabled, depending on certain income restrictions, so that those who can least afford it are not unduly financially burdened. Those having physical or mental disabilities, or over the age of 65, are allowed a $175,000 exemption on their equity. Those over 55 but under 65 years of age, meeting certain income restrictions, are also allowed this exemption. Your Riverside bankruptcy attorney will be able to explain it to you in more detail.
To discuss what benefits the homestead exemption can have for your own bankruptcy,
call 888.558.2992 for a free consultation with a bankruptcy attorney at the Law Offices of Harold D. Thompson, Riverside Bankruptcy Attorneys. The increase in the exemption could save your home from being sold to pay your debts.
As Riverside Bankruptcy Lawyers helping people with Chapter 7 & Chapter 13 Bankruptcy debt relief we are proud to serve the following areas of Riverside County: Riverside, Palm Springs, Banning, Beaumont, Blythe, Calimesa, Canyon Lake, Cathedral City, Corona, Coachella, Desert Hot Springs, Hemet, Indian Wells, Indio, Lake Elsinore, La Quinta, Menifee, Moreno Valley, Murrieta, Norco, Palm Desert, Perris, Rancho Mirage, San Jacinto, Temecula, Wildomar and all unincorporated areas of Riverside County.
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