Can my property be sold to satisfy a debt I owe in Florida?
On behalf of Bankruptcy Law Firm of Clare Casas on Friday, May 15, 2015.
Broward County families confronted by financial challenges brought about by the loss of employment or by staggering medical debt caused by a sudden illness or injury might be worried about losing their home and other assets. Florida laws offer some protection to consumers.
When you do not pay a debt, a creditor may sue and, if successful, obtain a judgment. Armed with the judgment, which is good for 20 years, a creditor may attempt to collect what is owed by having your personal property seized and sold by the sheriff to satisfy all or part of the debt.
Under state law, your home is protected against seizure by your creditors. The only exception to this is the bank from which you borrowed money to purchase or refinance your home. If you took out a mortgage loan and fall behind on mortgage payments, the bank may foreclose on the property because it is a secured creditor.
If you do not have a home to protect, you may protect up to $4,000 of personal property, including money on deposit in a bank, from execution by creditors. An additional $1,000 exemption is available under Florida law for a motor vehicle. You may combine the personal property exemption and the motor vehicle exemption to protect up a vehicle valued at up to $5,000. If the vehicle is valued in excess of the exemption, then only the exempt amount will be protected.
There are debt relief solutions available to avoid the consequences of being so overwhelmed by debt that your creditors are taking steps to seize your assets. The purpose of this post is to provide an overview of the subject matter. A consultation with a bankruptcy law attorney might be your best source of information and legal advice on this topic as this post is not offered or intended to be relied upon as a substitute for the advice of an attorney.