What Are The Nevada Laws For Bankruptcy Exemptions?

NEVADA
Has state opted out of federal bankruptcy exemptions?
Yes. Nev. Rev. Stat. § 21.090.

Is opt out limited to residents or domiciliaries of the state? Yes. Nev. Rev. Stat. § 21.090: ‘‘Any exemptions specified in [§ 522(d)],
do not apply to property owned by a resident of this State. . . .’’

Do state’s exemptions have extraterritorial application?Homestead: Uncertain.
Personal property: Uncertain.

Wages: Nev. Rev. Stat. §§ 21.090, 31.295 to 31.298.
Scope: Earnings.
Amount: Garnishment may not exceed the lesser of 25% of disposable earnings for the workweek or the amount by which
disposable earnings that week exceed 50 times the federal minimum wage.

Survival after payment/deposit:
Yes. Earnings are defined to include compensation received by the judgment debtor, in the possession of the judgment debtor, held in accounts in a bank or any other financial institution, or, in the case of a receivable, compensation that is due the judgment debtor.
Waiver:
Not specified in garnishment statute.
Homestead: Nev. Rev. Stat. §§ 21.090, 21.095, 115.005, 115.010, 115.040.
Amount:
$550,000 in either land and a dwelling or a mobile home, subject to certain liens; land held in spendthrift trust for debtor is exempt. Unlimited exemption if ‘‘allodial title’’ has been established. (Nevada residents can acquire ‘‘allodial title’’ to their land by buying out the property tax right from the government. Then the landowner does not have to pay property tax on the land.) The primary dwelling, including a mobile home, and land may not be executed upon for a medical bill during the lifetime of the debtor, debtor’s spouse, a joint tenant who was a joint tenant at the time judgment was entered, or debtor’s disabled dependent adult child, or during the minority of any child of debtor. A 2007 amendment added an exemption for sums reasonably deposited with a landlord, to secure the rental or lease of debtor’s primary residence (except not exempt as to landlord’s claims for rent).
Procedural requirements:
Procedure available for filing declaration of homestead. Exemption available even without declaration. Once declaration is filed, spouse must join in any encumbrance or sale.
Special provisions:
None specified.
Waiver: Spouse must join in conveyance or encumbrance of declared homestead.
Tangible personal property:
Nev. Rev. Stat. §§ 21.080, 21.090, 21.100.
Household goods: $12,000 necessary household goods, furnishings, electronics, wearing apparel, other personal effects and yard
equipment.
Motor vehicles: $15,000, no limit if specially equipped for disabled
debtor or dependent.
Tools of trade:
$10,000 tools of trade; $4500 mining equipment; $4500 farm equipment.
Clothing and jewelry:
Jewelry is included in the $5000 wildcard exemption.
Miscellaneous and wildcard:
$5000 in private library, works of art, musical instruments and jewelry, all family pictures and keepsakes; health aids; property held in a spendthrift trust; uniforms debtor is legally required to keep, one gun, a collection of metal bearing ores, geological specimens, art curiosities or paleontological remains if the debtor catalogues them and the catalogue is kept near the collection for the free inspection of all visitors; coin collections are not exempt. $1000 in any property, including accounts in a financial institution.
Waiver: Not specified in exemption statute.
Benefits, retirement plans, insurance, judgments, and other intangibles: Nev. Rev. Stat. §§ 21.080, 21.090, 21.100.
Public benefits:
Social Security benefits, including without limitation, retirement, survivors, SSI and disability. See Nev. Rev. Stat. § 422.291 (assistance awarded pursuant to public welfare administration laws is exempt). Earned income credit or any similar credit pursuant to state law.
Pensions, retirement plans and annuities:
Up to $500,000 (present value) in tax-qualified retirement plan.
Insurance, judgments or other compensation for injury: Money or benefits in any manner growing out of life insurance, if premium not more than $15,000 per year (for higher premium, the proportion that $15,000 bears to the premium paid); $16,500 personal injury judgment; wrongful death judgment for person on whom debtor was dependent; compensation for loss of future earnings of debtor or person on whom debtor was dependent, so far as needed for support; criminal restitution.
Bank accounts:
Not specified in exemption statute.
Alimony, child support:
Court-ordered family support.
Survival after payment or deposit:
Not specified in exemption statute.

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Bank of America to pay 108 millions fine

If it can be said that Countrywide single handedly triggered this foreclosure fiasco, it would not a fictitious statement. Countrywide was more liberal in awarding loan to undeserving people without checking any of their creditworthiness compared to any other financial institution. We have hundred of thousands of home foreclosure situations throughout USA and no one is found to be blamed and punished. Finally, Bank of America is found culpable and rightly punished. This bank has not learnt anything from Countrywide’s fiasco, and still doing lots of bad things including a very slow loan modification process. Following is an interesting article to read about all these mattershttp://www.nytimes.com/2010/06/13/business/13gret.html?ref=foreclosures

What is Diference Between Different Kinds of Claims?

Your bankruptcy attorney uses this language quite often, and we do too. It is some a special lingua franca, in describing bankruptcy either other than the common definitions and the kinds of claims in describing the bankruptcy process. Now, let us see what are these claims:
Secured, Priority and Unsecured Claims – what’s the difference?Before we use it more than once, you might be curious to know what basically is the difference in all three of them. Well, first thing you have to know is that not all creditors are created equally. Because they are in inequal, therefore their claims also needs different priorities.

There are three types of creditors in bankruptcy:

Secured creditors
Priority creditors
Unsecured creditors

Secured creditors are those who have a lien or security interest in collateral. Examples of this include:
– Mortgage lenders
– Automobile finance companies
– Certain furniture dealers
– Certain jewelry dealers
– Car title lenders
Priority creditors get paid first from whatever is left in your estate after exemptions and secured creditors. Priority creditors include:

– Domestic support claimants (usually ex-spouses for alimony or support)
– Wage claims
– Tax claims within 3 years (it’s more complicated than that but this is what you need to know to start)
– Non-dischargeable tax claims – for example sales or withholding tax claims.
– All other creditors are unsecured.

An unsecured debts can be wiped out in a chapter 7 bankruptcy, while it may go toward reorganization in a chapter 13 reorganization. They are generally the following:
– All credit card transaction
– All personal transactions.
– All medical bills
– Any financial transactions which is not a security interest.
The best thing is that you are entitled to an automatic stay which you definitely need to have a shelter from your demanding creditors.

For secured creditors, you need to show your intention as “surrender” “reaffirm” or “others”, In case you want to surrender, there is no liability, and the credit claims can be wiped out. However, reaffirmation is risky, and you are telling the judge that you are willing to continue as long as you keep on making the payments. Surrender is a good option, if you have been involved in unhappy and expensive transaction. Of course anything you surrender, there should be no recurring liability. All liabilities associated with surrender should disappear and be wiped out via bankruptcy. There should not be any deficiency judgments after you surrender.

Can You Keep Your Car in Bankruptcy?

Can You Keep Car If You File For Bankruptcy?
[Law office of Malik Ahmad can be contacted to get free consultation for bankruptcy]
I have been asked many times about keeping car after declaring bankruptcy. The simple answer is yes, you can keep your car. But also it this is a white elephant, and you are fed up making the huge monthly payments, you can get rid of too. The federal plan for bankruptcy does not like to wipe out everything you have. You still can keep a job, and of course driving from to work and back to home. A car is an indispensable tool, and one cannot live without it. You have to drive to work. So let’s handle this questions once and for all. Debtor who file bankruptcy can keep one car in Nevada up to $15,000. worth of equity. Again, you have to think if you can afford the payment and like to continue the car. The most important questions is that if you can afford the car payments.
By filing bankruptcy, you erase your personal obligation to pay debt. When a debtor reaffirms debt, she is agreeing to continue being obligated for the debt, as opposed to discharging it as part of the bankruptcy. As a condition of keeping the car, your lender will make you reaffirm the obligation to make your car payments. After you have executed the reaffirmation agreement with the help of your attorney, you will continue to make car payments and use your car exactly as you did before bankruptcy. Reaffirmation agreements must be taken seriously because once you sign, you have taken the obligations to make the payments as agreed. The Court will not approve your reaffirmation of your car loan if to do so would constitute an undue burden. Therefore, the consumer must be able to demonstrate that she can continue to make her car payments before the Bankruptcy Court will approve the reaffirmation.
Is Your Car Worth to Keep It?
One of the common misconceptions about bankruptcy is that you will lose all of your property if you file. This is simply not the case. Many people who file bankruptcy retain all of their property through the process through the use of the exemption laws. However, it is important to meet with a knowledgeable bankruptcy attorney to discuss your state’s exemption laws. Additional equity can be protected by using the state wildcard exemption. If you owe more than your car is worth you need not worry about exemptions since you have no equity in your car. The bankruptcy trustee will only seek to liquidate property that has equity which exceeds the amount of your allowed exemption. Keep in mind also that you would likely have the option of paying the Trustee the amount of the non-exempt equity in order to retain your car. To summarize, if you can afford to continue to make your payments and do not have non-exempt equity in your car, you will be able to keep it through the bankruptcy process. If you have fallen behind on car payments and need time to get caught up, chapter 13 bankruptcies may be an option to get you the car back.

More NV Help for NV Homeowners

Federal government announced more federal help for Nevada homeowners. We hope that this would be a real help and not just a stunt to reelect Harry Reid.
http://www.lvrj.com/business/nevada-homeowners-could-get-help-from-federal-funding-97004429.html

Obama Plan is Falling Short for Homeowners

We had said it many times that the current Obama Plan aka HANP is inadequate to stop the increasing foreclosure and combat the rising foreclosure rate across USA. Basically, the HAMP has no teeth in enforcement, and despite all the tough talk the banks are free to deny the deserving homeowners the right to modify their loans. Banks had too many grounds to deny any deserving homeowners. We had suggested that only a very small legislation is required to fix the homeownership in USA. We had proposed earlier and we like to add again here.

-All homes are entitled to loan modification regardless of the income group and regardless of the interest rate.
-Every home is entitled for loan modification and that includes investors homes as well.
-only 2% interest rate should be charged by banks.
-Banks can increase after the initial 5 years to whatever the market rate justifies.
-No documentation should be required for any loan modification.
-Banks should be asked to do the loan modification with 15 days.
-Banks who comply the above requirements should be entitled to get $2000 from homeowners and $1000 from administration.
-These steps would give more revenue to bank to hire more people, add phone lines and faxes.

Now, NY Times has also added their weight to whatever we had been asking previously. Here, is the article from NY Times.
http://www.nytimes.com/2010/01/23/opinion/23sat2.html?scp=2&sq=&st=nyt