The New Arizona BK Exemptions Are Here!
If your personal assets deterred you from filing a bankruptcy case in the past, you will want to consult a lawyer regarding the new Arizona bankruptcy exemptions. House bill 2325 was passed during the summer and the new Arizona bankruptcy exemptions took effect in September 2013. The new statutes provide many advantages over the old bankruptcy exemptions. To use the new exemptions you must have been a resident of Arizona for at least two years.
For a single bankruptcy filer in Arizona, household furniture is no longer limited to the specific items, such as only one living room carpet or rug, listed in the statute. “Household furniture, furnishings and appliances personally used by the debtor are exempt from process provided their aggregate fair market value does not exceed four thousand dollars.” A.R.S. § 33-1123. Bankruptcy filers will want to list out their household furniture and use garage sale pricing to determine the aggregate fair market value of their furnishings.
A computer is now included in the list of protected items. An individual can protect “[o]ne typewriter, one computer, one bicycle, one sewing machine, a family bible, a lot in any burial ground, one shotgun or one rifle or one pistol, not in excess of an aggregate fair market value of one thousand dollars.” A.R.S. § 33-1125(7). There are some online websites that can help determine the fair market value of a computer.
The equity protected in an automobile has been increased to six thousand dollars. To determine the equity in your vehicle, determine the fair market value and subtract any secured liens on the vehicle (including title loans). It is important to tell your bankruptcy attorney if you have any handicap placards for your vehicle. A handicap placard could entitle you to protect up to $12,000 in vehicle equity.
Some of the new exemptions in Arizona can be doubled for married filers.
By: Eric M. Nolan (Licensed in Arizona)
To find out which exemptions you can use in bankruptcy, call for a free 30-minute consultation today. Call (480) 888-7111 or submit a web request here.