Listing Assets
The bankruptcy court in Massachusetts requires a bankruptcy petitioner to list all assets. Assets are further subdivided into real and personal property. Examples of real property can include your primary residence, a vacation property, or other property in the form of a home, building, land or even anything attached to the land or that does not move from the land.
List of All Residential Property
The first thing you will need to do when filing a bankruptcy petition is to make a complete list of all real property. In this schedule you will list not only your primary home but any other property that you have an interest in. For example, you might be on a relative’s deed as a joint tenant or tenant in common. This is the type of additional real property that you will need to list with the bankruptcy court. It is also possible that you might be listed in trust documents as the beneficiary of real property. This information would also need to be produced for the bankruptcy court.
Considerations for Listing Real Property
When listing any real property you hold in Massachusetts, you will need to provide the market value of that property. Our offices maintain strong relationships with real estate brokers and in most cases a real estate broker who works in location in Massachusetts where the property is held will be considered sufficient to provide a market appraisal. However, there are times when it is more advantageous to hire an official appraiser, although this is rare. Lastly, in this section of the bankruptcy petition, you will list any liens, levies or attachments placed on your Massachusetts property. Note: it is not uncommon for a bankruptcy petitioner to not know if there are any liens, levies, or attachments placed on their property. Our attorney will provide a thorough review of your situation to rule this issue in or out.
Personal Property
Personal property includes a wide range of different items, some tangible and some intangible.
Cash available
If you’re lucky enough to have extra cash lying around the house, these amounts must also be listed with the bankruptcy court.
Checking Accounts and Savings Accounts
Any monies that you may have in a bank account (checkings, savings or some other type of account) needs to be listed with the bankruptcy court.
Stocks and Other Financial Interests
If you own individual stocks through a broker or some similar investment through a broker these will need to be listed with the bankruptcy court as well.
Do You Own a Business Or Have an Interest in a Business
Perhaps you are a member of an LLC, or a shareholder in an incorporated business. If so, this fact will need to be brought before the court. Valuing this particular asset is sometimes difficult but can be accomplished with the help of our attorney.
Retirement Accounts
Do you own an IRA, 403(b), or some other type of retirement investment accounts? You will need to list all the details of these accounts including the amounts, account numbers and other pertinent information so that they are identified as part of your bankruptcy estate.
Educational Savings Plans
There are multiple types of investment and savings vehicles available for people wishing to save for education for their own children or for relatives or friends. The amounts and details of these accounts will need to be listed with the bankruptcy court.
Insurance Policies
Any interest in an insurance policy, particularly a whole life insurance policy will need to be listed in your bankruptcy schedules.
Death Benefits
Are you currently receiving money or other property that is part of a death benefit plan? Or, are you receiving the same through the will of a relative or other person? If so, these assets will need to be listed with the bankruptcy court.
Other Assets
There are numerous other asset categories which the attorney will review with you. The goal in creating this list of property owned for the bankruptcy court is to make the bankruptcy court aware of your entire asset portfolio. Keep in mind, and our attorney will impress this upon you, the fact that the bankruptcy court does not like surprises in the middle of a case. Even though it may feel a bit revealing and even intrusive to allow someone else to have complete access to your entire list of assets, it is necessary for you to do when filing for bankruptcy in Massachusetts. Not including all of your information might be viewed by the bankruptcy court as fraudulent behavior, a risk that is not worth taking.
DISCLAIMER:
The information provided in the pages and posts of this website are for general informational purposes only. The information presented on this site is not legal advice, and no attorney-client relationship is formed by the use of this site.
