Every bankruptcy filer is allowed to keep a certain amount of clothing, cash, jewelry and/or other household items. Many retirement accounts are exempt as is a certain amount of equity in homes and cars.

But, several times in the last few weeks I’ve received calls wherein the potential client was primarily concerned with their “STUFF.”  During the same time frame, I heard a report that, before 1960, there were no storage facilities in the United States.  Now, there are an estimated 50,000.  More than 80% of all storage facilities in the WORLD are in the United States.The very popular show Hoarders is based on the attachment some us have to our STUFF.  A nurse  recently told me that a grandmother could not take custody of her neglected grandchildren because she was a ‘hoarder’ and there was literally no room in her house.  Various experts expound their respective theories on the phenomenon.  Suffice it to say that North Americans have a fetish for STUFF.  Most of us are not so extreme that we cannot walk through our homes.  But, many of us are obsessed with our possessions.

Perhaps those very possessions are at the foundation of our financial woes.  Can I keep my STUFF?  Will they take my STUFF?  Do I have to give up all my STUFF?  What will happen to my STUFF?   The short answers are– “maybe” and “it depends.”   What I often wonder is whether the acquisition of STUFF contributed to the caller’s predicament–and whether the caller realizes the connection.  Would they be willing to downgrade their car, or relinquish that $5,000 rug to eradicate $75,000 worth of debt?

The law acknowledges and understands our need for stuff and offers each bankruptcy filer a proverbial pot within which to hold their most important stuff.  As a bankruptcy filer, you can keep everything that fits in the “pot,” that is, items that are EXEMPT and cannot be taken by the bankruptcy court.  Federal and state bankruptcy law allows certain exemptions.  Depending on your jurisdiction, your pot may include (with certain limitations) your retirement account, equity in your home or car, jewelry, clothes, or other things.  It is crucial that you disclose ALL your belongings to your attorney in order for he or she to ensure that everything possible can be exempted.

The easiest way to lose your stuff is to try and hide it instead of using the protections allowed by law.   A competent bankruptcy attorney can advise you on the best way to keep your stuff.  Yet, I still wonder whether we should occasionally think about letting some of our stuff go.

Maybe it’s up to each of us to ask: “Is this stuff something I own?  Or is this stuff owning me?”

Chapter 13 – Is usually for debtors that want to protect their assets.  Usually the debtors are trying to prevent a foreclosure and/or just need time to restructure their financial life following a loss of job or other reduction in income.  A Chapter 13 is usually 3 – 5 years.

There are regular foreclosure workshops through Maryland. Bring your paperwork, come sit down and let a competent attorney explain your options to you.  There are regular Foreclosure Solutions Workshops throughout the state of Maryland.  Hundreds of lawyers volunteer their weekends and evenings to offer one-on-one consultations.  You do not have to be in foreclosure to get a consultation.

Check the events page for the next event.

I know it is frustrating trying to find help. It is also frustrating trying to help. There are hundreds of foreclosure attorneys that have donated thousands and thousands of hours lobbying congress to change the foreclosure and bankruptcy laws, staffing foreclosure seminars like the ones listed on the Events page AND taking pro bono cases for homeowners like yourself.

Do yourself a favor – DO NOT WAIT UNTIL THE LAST MINUTE TO GET HELP. Be appreciative of the personal time the attorneys are willing to give you. Understand that the time they give you is time they cannot spend earning $ to pay their own mortgage. Make it as easy on them as possible: 1. Don’t wait until the last minute and then demand a miracle, 2. Be honest and complete in all your answers, 3. Provide all documents requested immediately, 4. Don’t be difficult.

You may be eligible for:

• Loan modification
• Reamortization
• Deed in lieu of foreclosure
• Cash for Keys
• Short Sale