Can I keep my home when filing for bankruptcy?

Yes, you can keep your home when filing for bankruptcy in Indiana. The state of Indiana has laws in place that protect homeowners from losing their homes when they file for bankruptcy. Under Indiana’s Homestead Exemption, you can keep up to $30,000 of equity in your home or farm as long as your mortgage is current. This means that if your home is worth $100,000 and you have a remaining $50,000 mortgage balance, you will be able to keep up to $20,000 of the equity in your home when filing for bankruptcy. In addition, Indiana has a Wildcard Exemption which can be used to protect additional assets not covered by the Homestead Exemption. This Wildcard Exemption protects up to $8,000 of your assets, such as money in your bank account, furniture, a car, or a boat. This means that if you have $30,000 of equity in your home but more than $8,000 of assets outside of your home, you will be able to keep all of your assets when filing for bankruptcy. Finally, some other options may be available to protect your home even further. For example, a court may be able to pass a special “hardship discharge” which allows people to keep their homes even if their equity exceeds the amount set by the Homestead Exemption. This requires a court to review your case in detail to assess if it qualifies for a hardship discharge, so it is important to talk to an experienced bankruptcy attorney about your individual case.

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Can I keep my home when filing for bankruptcy?

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