Indiana Bankruptcy Exemptions
Homestead and personal property under the Indian bankruptcy exemptions
Property definitions contained within the Indiana bankruptcy exemptions are construed narrowly by federal courts, so that creative interrelation cannot expand value retained. To successfully designate a homestead and personal property as exempt, each person must precisely track the language of the statute when supporting each exemption. For instance, cash accounts may be exempt in limited circumstances if properly designated as an exempt retirement account. Yet proof of compliance is paramount and subject to verification during the administrative process.
Personal property exemptions in Indiana
Because personal property notoriously disappears when creditors attempt collection, repossession laws in the State of Indiana prevent removal from the state after notice. But in proceedings before the Indiana bankruptcy court, the standards applied are different. If a debtor must leave the state for employment, cars, appliances and other personal items may be removed from the state despite liens or security interests.