If you file for bankruptcy in Virginia, you can keep certain personal property. State law outlines bankruptcy exemptions that include a portion of home equity and other items.
Review the rules about what assets you can retain in a Virginia bankruptcy filing to help inform this important financial decision.
Home and auto exemptions
You can keep up to $5,000 in equity in your primary home or $10,000 if you and your spouse file together, you are a disabled veteran, or you are older than 65. You can also add $500 to this amount for every dependent who lives in the home.
You can also keep up to $6,000 of equity in an automobile.
Additional property exemptions
Some of the most common bankruptcy exemptions in Virginia include:
- Up to $20,000 in property that belonged to a deceased spouse
- Up to $10,000 in vehicles, equipment, tools and materials used for a trade
- Up to $5,000 in furniture and decor
- Up to $5,000 in heirlooms and family photos
- Up to $3,000 in firearms
- Up to $1,000 in clothing
- An unlimited amount for pets not raised for sale, medical devices, military uniforms and equipment, the family Bible, and wedding and engagement rings
You can also keep medical and health savings accounts, qualifying retirement accounts and pension plans, settlements for personal injury, unemployment compensation, and up to 75% of your weekly disposable income. Additional exemptions may apply depending on your specific financial situation.