Can the Bankruptcy Trustee take my stuff, and what does he do with it? (Part 2)

The following is Part 2 of 2 of our Blogpost addressing the common question clients have regarding what types of property a Bankruptcy Trustee may seize pursuant to the filing of a petition in bankruptcy.

You may have questions as to whether the balance of your 401k or your IRA are available to the trustee.  Luckily, they are protected, up to the full amount you have in there, so long as you leave them alone and intact.  In like fashion, if you receive social security, that cannot be reached by the trustee so long as it’s origin can be clearly traced as originating under the Social Security Act.  (Thus, social security payments directly deposited in a bank account, as is usually the case now, is exempt.)

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