Will a person lose all of his property if he files under Chapter 7?

Will a person lose all of his property if he files under Chapter 7?

Some assets are protected in a bankruptcy filing. Each state varies on what type of assets have exemptions, and how high the exemption amount is. Unless you have been in one state for your entire life, you should consult with an attorney to determine which states’ exemptions you will use. Some exemptions are also job-specific, such as pensions for government employees like police officers and firefighters. If your total equity doesn’t exceed your state’s exemption amount, you can keep assets like your house and car.

Your trustee can seize certain property for up to 6 months after you file bankruptcy. These include your tax return, inheritance, settlement payouts, gambling winnings, and security deposits.