If I file an Oregon Bankruptcy will I lose my property?
What are exemptions?
Most people that file for bankruptcy are able to keep most, if not all, of their personal and real property. Exemptions are state or federal laws that protect your property from creditors and bankruptcy trustees. Oregon has opted out of the federal bankruptcy exemptions, so residents of Oregon must use Oregon State exemption laws in most cases. However, in some cases, if you have not lived in Oregon for at least 2 years continuously you may be able to use another state’s exemptions or the federal bankruptcy exemptions. If it is getting close to 2 years since you moved to Oregon call me now. Waiting until you have lived here for more than 2 years can result in you losing property you otherwise may have been able to keep.
Most people that I have represented in Oregon have been able to fully exempt most if not all of their personal and real property. This means they did not lose anything in their bankruptcy case. The two biggest trouble areas are usually tax refunds and cars that have too much equity. Below is a list of many of the Oregon exemption laws. If you have not lived in Oregon for at least 2 years, other state or the federal exemption laws may apply. Upon retaining me, one of the services provided to you will be an analysis of the proper exemptions to use.
Even if your property is worth more than the amounts listed below, or if you have more equity than is listed below, all may not be lost. One must also factor in the costs of sale by a trustee and the trustee’s commissions to fully evaluate exemptions. Also, in many cases a bankruptcy trustee will be willing to work out a payment plan with you to keep your non-exempt property.
Oregon Exemption Laws
| PROPERTY EXEMPTIONS |
STATUTES
|
LIMIT ON THE AMOUNT OF THE EXEMPTION
|
| Books, pictures, musical instruments, art objects, collections |
18.345(1)(a)
|
$ 600.00*
|
| Wearing apparel, jewelry |
18.345(1)(b)
|
$1,800.00*
|
| Tools of the trade |
18.345(1)(c)
|
$5,000.00*
|
| Vehicle |
18.345(1)(d)
|
$3,000
|
| Domestic animals |
18.345(1)(e)
|
$1,000.00
|
| Household goods, furnishings and Provisions (Food & Fuel for 60 days) |
18.345(1)(f)
|
$3,000.00
|
| Spousal support, child support |
18.345(1)(i)
|
100%
|
| Bodily Injury Claims |
18.345(1)(k)
|
$ 10,000.00*
|
| Earned Income Credit |
18.345(1)(n)
|
100%
|
| Any personal property (the “general” exemption) |
18.345(1)(o)
|
$ 400.00*
|
| Homestead – Personal residence:Single Debtor
Joint (Married Debtors) |
18.395
|
$40,000
$50,000
|
| Homestead – Mobile Home (own land) Single DebtorJoint (Married Debtors) |
18.428(1)
|
$23,000.00
$30,000.00
|
|
|
|
| Wages |
18.385
|
75%
|
| One rifle or shotgun, one pistol combined value |
18.362
|
$ 1,000.00
|
| Pension plans |
18.358
|
100%
|
| Social Security Benefits |
23.166
42 U.S.C. § 407
|
|
| Aid to Disabled Persons |
412.610
|
100%
|
| Certain Annuity Policy Benefits |
743.049
|
Partial
|
| Burial Lots sold by a non-profit corporation |
65.870
|
100%
|
| Fraternal Benefit/Society Benefits |
748.207
|
100%
|
| Health & Disability Benefits |
743.050
|
100%
|
| Life Insurance Proceeds |
743.046
|
100%
|
| Life Insurance Proceeds – Group |
743.047
|
100%
|
| Unemployment Compensation Benefits |
657.855
|
100%, (75% if judgment is for a support obligation)
|
| Veteran’s Benefits & Loans |
18.345(1)(m)
|
100%
|
| Veteran’s State Loan Funds |
407.595
|
100%
|
| Vocational Rehabilitation Payments |
344.580
|
100%
|
| Workmen’s Compensation Benefits |
656.234
|
100%, (75% if judgment is for a support obligation)
|
| Wages on deposit in Bank (75%) |
18.385
|
$7,500.00
|
| College Savings Accounts |
ORS 348.863(2)
|
100%
|
Those items marked with an * indicate that this amount is doubled if it a joint case. |
|
