California Bankruptcy Exemptions

What Are Bankruptcy Exemptions in CA?

Filing for bankruptcy can help you achieve financial freedom. Learn about California’s exemptions that protect your certain assets from being included in the process.

Whether you are considering filing Chapter 7 or Chapter 13 bankruptcy, it is important to note that California law protects certain assets from being included in the procedure. These bankruptcy exemptions can help you from losing your home, household goods, retirement benefits, and more.

Do I Need an Attorney to File Bankruptcy in California?

Before you file, we strongly recommended that you speak with an experienced bankruptcy attorney. At Alamdari Law, we know the stress and frustration of being consumed by debt. We have helped clients throughout California get a fresh start by eliminating or consolidating their debt.
Contact our office at (661) 347-6762 for a free initial bankruptcy consultation and find out why we are the industry leader in customer care.

What Assets Are Protected Under California Law?

Section 703 and 704 of the California Code of Civil Procedure list exemptions for individuals filing bankruptcy in the state.

Bankruptcy exemptions are listed under Section 703 and 704 of the California Code of Civil Procedure. If an asset is not protected under one of these exemptions, it may be subject to forfeiture under Chapter 7 bankruptcy. If you are filing Chapter 13 bankruptcy, non-exempt assets may affect the amount you have to repay.

Common assets that are protected in a bankruptcy proceeding include:

· Motor vehicles
· Household furnishings and appliances
· Jewelry
· Retirement benefits
· Life insurance
· Alimony payments
· Real property (your homestead)

Which Set of Exemptions Apply?

There are several exemptions listed under Section 703 and 704. Individuals may select which section provides the best protection based on their assets. In order to be eligible, most of the listed exemptions have a set monetary value that they cannot exceed.

It is important to note that you may apply one set of exemptions (i.e., Section 703), but not both. To find out which section provides the most protection, contact our office to discuss your situation with a knowledgeable attorney.

Will I Lose My Home If I File for Bankruptcy?

The California Homestead Exemption may protect the equity in your home from creditors during a bankruptcy proceeding.

Under the California Code of Civil Procedure Section 704.730, a person’s principal dwelling (homestead) is exempt from sale in a bankruptcy proceeding as long as it meets certain qualifications.

Examples of dwellings protected under the homestead exemption include:

· A person’s primary residence, including the land
· A mobile home
· A boat
· A condominium
· A planned development
· A stock cooperative
· A community apartment project

What If My Home Is Sold?

If a property protected under the homestead exemption is sold, the statute may provide protections on the proceeds of the sale. The homestead exemption only provides protection up to a certain monetary value.

If your property has a large amount of equity, it may not be eligible. Before filing Chapter 7 or Chapter 13 bankruptcy, you need to consult an attorney to protect your interests and your assets.

How Do I Know Which Exemptions Best Protect Me?


When filing for bankruptcy, you want to protect yourself and your property from unscrupulous creditors. Find out which exemptions are best for you by calling our office today.

When reading through the exemptions enumerated in Sections 703 and 704 of the California Code of Civil Procedure, it can be difficult to know which exemptions are better for you and your family. At Alamdari Law, our firm is dedicated to helping individuals understand their rights and the protections afforded to them by law.

The bankruptcy process can be a huge undertaking. There are endless forms that need to be filed, and without the help of an attorney, otherwise protected assets may be forfeited. We will walk you through the process, providing the guidance you need to make an informed choice. Our goal is to help alleviate the hardship created by crushing amounts of debt. You have options, and we can help you decide what is best given your financial situation.

Contact Us

Contact Our Office for a Free Bankruptcy Consultation

The bankruptcy laws in California, including the exemptions listed under Sections 703 and 704, are updated every couple of years. At Alamdari Law, we will keep you abreast of the current laws and how they may affect your proceedings. We know that the decision to file bankruptcy can be overwhelming, but we are here to help.

If you are ready to get a fresh start and move toward financial freedom, contact our office at (661) 347-6762. Our firm is committed to providing the highest level of customer care to every person that walks through our door. We offer flexible payment plans and will work with you to develop the right strategy for your case. Call or email info@almadarilaw.com for a free initial consultation.

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