Is Jewelry Exempt in Bankruptcy?

You may choose from state or federal jewelry bankruptcy exemptions under Chapter 7 bankruptcy depending on your state laws. If your state jewelry exemptions are not as favorable as your federal exemptions, you may want to choose the higher exemption.   The federal jewelry exemption is $1,350.00.  However, up to $10,125 of your federal homestead exemption can be used towards any personal property so you could use it towards your jewelry exemption if you have substantial jewelry.  If you want to keep all your assets and have stable income, you may want to file under Chapter 13 bankruptcy.  A Chapter 13 is a reorganization where you enter into a debt reduction repayment plan with your creditors over a 3-5 year term.  The court must approve the plan.  At the end of the term after you have repaid your creditors, all your remaining unsecured debt is discharged. You should discuss which Chapter is a better choice for you to file under with a bankruptcy attorney. 

Other Exempt Assets 

Other federal bankruptcy exemptions, besides jewelry bankruptcy exemptions include:  

• Residence, including mobile homes, co-ops and burial plots, $20,200.  Unused portion up to $10,125 may be used for any other personal property.
• Tools of trade, $2,025.
• Retirement IRA’s and Roth IRA’s up to $1,095,000.
• Social security, disability, unemployment and workers’ compensation benefits.
• Non-matured life insurance policies.
• Life insurance with a loan value of $10,775.
• Motor Vehicle, $3,225.
• Misc. household goods, furniture up to 10,775.
• $1,075 for any property.
• Health aids.
• Wrongful death proceeds.
• Personal injury proceeds up to $20,200 except for pain and suffering damages. 
• Spousal support and child support.  

Speak with a Bankruptcy Attorney 

Since bankruptcy matters are complex, you should speak with a bankruptcy attorney.  If you have any questions regarding jewelry bankruptcy exemptions, other personal exemptions or general bankruptcy questions, your bankruptcy attorney can answer them for you. The attorney can prepare your bankruptcy petition and other documents and represent you in court.