Bankruptcy

North Dakota Bankruptcy Exemptions

There are certain legal provisions for North Dakota bankruptcy exemptions, as per which debtors is allowed to keep some of their assets and properties up to an extent as defined by the law. The option to use federal set of exemptions is not available in this state. However, federal supplemental exemptions can be used in conjunction with the exemptions offered by the state.

Wildcard

The wildcard exemption can be used as up to $7500 from the unused portion of the homestead exemptions to exempt any personal property of your choice.

Wages

Forty times the minimum wage as per federal standard or at least 75% of unpaid but earned weekly wages, whichever is higher. The court however has the right to offer a much higher exemption to those debtors who have a very lo regular monthly income.

Public Benefits

Public benefits that are exemptible in full as per the provisions for North Dakota bankruptcy exemptions include workers’ compensation, unemployment compensation, social security benefits, public assistance, survivor insurance program benefits, old age benefits, and crime victims’ compensation.

Personal Property

The personal property exemptions can be availed in the following manner.

- If you are not claiming exemptions for grain or crops and if you are not the head of the family, you can exempt up to $2500 to exempt any personal property of your choice.
- For those who are the head of their respective families and are not claiming the exemptions for grains or crops, the maximum exemption limit is $5000, which they can use to exempt any property of their choice. Alternatively, they can exempt up to $4,500 in livestock & farm implements, up to $1,000 in stock in trade and tools of mechanic and library & tools of professional, up to $1,000 in beds & bedding and household & kitchen furniture, up to $1,500 in musical instruments and books.
- In general, all debtors can avail North Dakota bankruptcy exemptions in the following way: up to $7500 in wrongful death recoveries, up to $7,500 in personal injury recoveries, up to $1,200 of equity value in motor vehicle (up to $32,000 for disabled for vehicles specifically designed for them), 100% of insurance proceeds for exempt property, food & fuel that is reasonably needed for at least twelve months, and crops or grain grown on up to 160 acres that the debtors uses as his/her residence also. Besides that, family pictures, clothing, church, Burial plots, schoolbooks, and Bible are also exemptible in full.
- Health aids that have been professional prescribed for any dependent on the debtor or for the debtor him/her self.
- Up to $18450 in payments that the debtor or a person whom the debtor is dependent on receives as part of financial loss or bodily injury claim.

Pensions

Public employees’ pensions, public employees deferred compensation, and disabled veterans’ benefits (excluding military retirement pay) are exemptible in full. Besides that, Keoghs, IRAs, and other ERISA-qualified benefits can be exempted either up to $100,000 per plan or to an extent that is reasonably needed for support (can go up to $200,000), whichever is higher.

Miscellaneous

Child support and alimony payments come under this category, for which you can avail North Dakota bankruptcy exemptions in full (100%).

Insurance

- Up to $100,000 per policy for Life insurance surrender value
- 100% of Fraternal benefit society benefits
- Any unmatured life insurance contract that the debtor owns

Homestead Properties

The maximum limit of exemption in homestead properties is $80000 that applies to mobile home, house trailer, or any other real property that I being used as a residence. There are no provisions for double exemption limit for a married couple even if husband and wife file a joint petition for bankruptcy.

It is important for you to understand that the exact details of the North Dakota bankruptcy exemptions depend on an array of factors. Therefore, it is always better to have your case thoroughly reviewed by an experienced North Dakota bankruptcy attorney first, as this way, you will be able to get a clearer picture on what kind of exceptions you actually may qualify for.


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One Response to “North Dakota Bankruptcy Exemptions”

  1. Martin says:

    Very wisely described. North Dakota state authorities try to make your life convenient up to some extent after suffering from the complicated phase of your life of being bankrupt. Personal property can be exempted under the combination of homestead and wild card categories. Unpaid but earned weekly wages can be exempted which may vary according to the financial condition of the debtors. Unemployment compensation insurance program benefits etc are also exempted according to different categorization process. Health benefits can also be taken like some certain amount for injury recovery or some thing else for disabled people etc. Burial plots and holy books are also fully exempted. Any claim against any injury is also exempted. The state authorities try to give your valuables even after your bankruptcy but the awareness towards the rules of this typical process will prove to be very beneficial for you. The option to use federal set of exemptions is not available in this state. So, Federal supplemental exemptions can be used in conjunction with the exemptions offered by the state.

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