Can You Keep Your Stimulus Check In Bankruptcy?
On April 9, 2020, the IRS started sending stimulus checks to individuals under the Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020 (Act). People earning less than $75,000 will receive $1,200 and married couple earning less than $150,000 will receive $2,400. Additional $500 will be paid for each qualifying child under the age of 17.
Whether you can keep the stimulus check in bankruptcy depends on when you are going to file the bankruptcy, where you live and what other assets you have. Arizona has only a $300 exemption for funds in the bank account ($600 for married couple). In order to protect your stimulus check, it is important to discuss your situation with an experienced bankruptcy attorney.
If you are considering filing for bankruptcy, call us at 480-425-2009 or contact us via our website to schedule a free confidential consultation and we will make sure your stimulus check is protected and you get the maximum relief from your debts through bankruptcy.
Please note that this article does not constitute a legal advice. We simplified the law, excluded nuances in law in order to outline the treatment of the stimulus check in bankruptcy.