According to U.S. bankruptcy law, a specific dollar value is assigned to each substantial piece of property a filer owns. Examples include vehicles, furniture, electronics, artwork, and jewelry. Valuation is one of the most confusing aspects of the bankruptcy process, but a Bankruptcy Attorney In Tacoma Wa can help. Below are several things for filers to know so they can understand what the court wants.
Values Should be In Line With Retail Prices
When determining the value of an item, the filer should not claim the amount they paid. Rather, they should consider what the item may go for in a retail setting after factoring in the item’s usability, condition, and age. Alternatively, the amount the filer comes up with can reflect what it may cost to replace the item with a similar object in like condition.
A Car’s Condition and Age Affect the Claimed Value
A newer vehicle with an outstanding loan balance can be fairly valued with a trade publication such as the Kelley Blue Book. However, for an older vehicle, a book price can be widely off, considering the wide variance in vehicle conditions. An old car can be in immaculate condition or it can be rusted and beat-up. Check the local classified ads to get an idea of the prices similar vehicles are going for.
Household Items Must be Reviewed Carefully
It is in a filer’s best interest to abide by the regulations set forth in the state’s bankruptcy laws. It requires a careful evaluation of all one’s possessions, which can be time-consuming. Filers shouldn’t raise the court’s suspicions too much or they may encourage the court to perform its own investigation. If it is too difficult to inventory possessions, a filer can hire an appraiser to do the job.
A Bankruptcy Attorney In Tacoma Wa can provide legal advice as well as representation during court hearings. These attorneys can also help with other financial and legal matters. Visit the website to learn more about available services, or call today to speak with a trained representative. With a bankruptcy attorney’s help, a client can get a financial fresh start.
