Bankruptcy laws in NC
Find out information about the bankruptcy laws in place in North Carolina.
When you are filing for bankruptcy in North Carolina, you have many steps ahead of you in the process. Bankruptcy laws in NC are similar to the other forty-nine states, but unique as well. The federal government determines the steps a person must actually take to file for bankruptcy, but states get to decide how much an individual can claim as exempt in a hearing. This exempt property is important to people that are looking to hold onto items from a Chapter 7 bankruptcy. Some states offer a lot of exemptions, while others offer very few. The only way for you to really know what the bankruptcy laws in NC are, is to research.
If you do start looking around at the bankruptcy laws in NC, you will see that you can file a Chapter 7 or Chapter 13 bankruptcy, just like in any other state. This gives individuals the option of paying back portions of their debt, or liquidating most of their assets. When filing a Chapter, debtors are interested in the property, and money, that they are allowed to keep. Luckily, North Carolina is a state that actually provides a decent amount of exemptions. You are allowed to have a $35,000.00 dollar home exemption and even $5,000.00 dollars in personal property. North Carolina also states that you can have a car that is valued at $3,500.00 dollars, or less. These are only a few of the exemptions that you can take advantage of.
Before even following through with bankruptcy proceedings, you have to make sure that you qualify for the Chapter that you are trying to file. Everyone has minimum requirements, mandated by the state, which you must possess. Some of these requirements are centered on your financial information, like the amount of money you make, or the amount of money you owe. The only way for you to find out if you are legally able to file for bankruptcy is to check the requirements through the bankruptcy laws. You can research this information, but makes sure that you are totally honest in all of your paper work. If you are found to have misrepresented your financial information, you can be prosecuted and even face serious jail time. Bankruptcies are serious, and you need to pay attention through every detail of the bankruptcy process.