California homestead law drives bankruptcy exemptions even for those who no longer live in California. Strange, when the homestead statute was state law originally written for Californians. Two things have expanded its reach: bankruptcy “reform” and the concept of extraterritoriality. The third driver, of course, is mobility: we seem much more likely these days to […]
New California Bankruptcy Exemptions
Californians filing bankruptcy got some new exemptions to protect their assets on January 1, 2023. Plus, we will see the triennial inflation increases in April, 2023. California has its own set of exclusively bankruptcy exemptions, as an alternative to the standard state law exemptions. California opted out of the Bankruptcy Code’s exemptions, in favor of […]
How To Spend Money Before Filing Bankruptcy
Trying to spend down cash before filing bankruptcy? It’s time to talk about the float. Not the root beer float, though that would be more fun. The bank “float”: the period between writing a check and it clearing your bank. (We’ll talk about what to spend on before filing bankruptcy, too). When you file bankruptcy, […]
Your Creditors Lie In Wait For Your Kids
Is your legacy to your kids an encounter with your unpaid creditors? Debt problems for those over 65 may not be problems for the elder at all. Income and assets are largely protected by law from creditors. But that doesn’t trouble creditors: they’ll simply wait and get their money from your kids. Seniors enjoy protection […]
Bankruptcy Exemption Bill Changes More Than Dollar Amounts
An odd quirk in California’s bankruptcy exemptions was eliminated when the exclusion for pain and suffering damages was deleted by the legislature. Before January, 2013, someone filing bankruptcy could exempt money recovered for a personal injury up to $17,425. But no part of any recovery for pain and suffering associated with that injury was exempt. […]
