Bankruptcy Exemptions in Colorado
Chapter 7 bankruptcy is referred to as a “liquidation” but this is misleading. Ordinarily, you lose no property because the usual property owned by most people is exempt. The most common exemptions are as follows:
- $75,000 worth of equity in your home (or in reality, a little more than $75,000 worth of equity when the hypothetical costs of sale are calculated)
- If you are elderly or disabled, the limit is $105,000.
- $7,500 per motor vehicle for each debtor ($12,500 per debtor if elderly or disabled)
- 100% of the money held in an ERISA-qualified retirement account (for example, your 401(k) or IRA account)
- $3,500 worth of household goods per debtor (value is calculated at replacement value for like-kind goods; in other words, what would it cost to purchase a 10 year old washer today?)
- Many other exemptions specific to your situation are available.