In the state of Virginia can they take your home if you file bankruptcy, the home is paid off?

my spouse (not me ) is over 40K in debt he is retired and gets a monthly income of about 1,800.00 after taxes. I would like for him to file bankruptcy, he wants to save his credit and take out a loan on the home to pay the credit off. (which sounds good because it would to cheaper to pay the loan back and he can pay it back in about six years) but my thing is that the 1,800 is all that he has as income, with the economy if his company says they have no more money to pay pension we will be out on the street. What do you guys think would be the best. If their ae any bankruptcy lawyers logged on please type in your info so when can call and speak with you.

Public Comments

1. Caveat: Not giving legal advice. A quick look at Virginia's exemptions tells me that his house can be ordered sold. ASSET EXEMPTION DESCRIPTION LAW SECTION Homestead $5000 plus $500 per dependent; may also claim rents & profits; sale proceeds exempt to $5000 (husband and wife may double), Cheeseman v. Nachman, 656 F. 2d 60 (4th Cir. 1981); unused portion of homestead may be applied to any personal property May include mobile home Must file homestead declaration before filing for bankruptcy Property held as tenancy by the entirety may be exempt against debts owed by only one spouse 34-4, 34-18, 34-20 In re Goad, 161 B.R. 161 (W.D. Va. 1993) 34-6 In re Harris, 155 B.R. 948 (E.D. Va. 1993) Insurance Accident or sickness benefits Burial society benefits Cooperative life insurance benefits Fraternal benefit society benefits Group life or accident insurance for government employees Group life insurance policy or proceeds Industrial sick benefits 38.2-3549 38.2-4021 38.2-3811 38.2-4118 51.1-510 38.2-3339 38.2-3549 Miscellaneous Property of business partnership 50-25 Pensions Also see wages City, town & county employees ERISA-qualified benefits to $17,500 per year Judges State employees 51.1-802 34-34 51.1-102 51.1-102 Personal Property You must be a householder to exempt any personal property Bible Burial plot Clothing to $1000 Family portraits and heirlooms to $5000 total Health aids Household furnishings to $5000 Motor vehicle to $2000 Personal injury causes of action Personal injury recoveries Pets Wedding and engagement rings 34-26(1) 34-26(3) 34-26(4) 34-26(2) 34-26(6) 34-26(4) (a) 34-26(8) 34-28.1 34-28.1 34-26(5) 34-26(1) (a) Public Benefits Aid to blind, aged, disabled, AFDC, general relief Crime victims’ compensation unless seeking to discharge debt for treatment of injury incurred during crime Unemployment compensation Workers’ compensation 63.1-88 19.2-368.12 60.2-600 65.2-531 Tools of Trade Horses, mules, (pair) with gear, wagon or cart, tractor to $3000, plows (2), drag, harvest, cradle, pitchfork, rake, iron wedges (2), fertilizer to $1000 of farmer (you must be a householder) Tools, books and instruments of trade, including motor vehicles, to $10,000, needed in your occupation or education (you must be a householder) Uniforms, arms, equipment of military member 34-27 34-26 44-96 Wages Minimum 75% of earned but unpaid wages, pension payments; bankruptcy judge may authorize more for low-income debtors 34-29 Wild Card Unused portion of homestead, of any personal property $2000 of any property for disabled veterans (you must be a householder) 34-13 34