Will I lose my checking account if I file for bankruptcy?

It really depends on the state in which you are filing, and the allowed exemptions for cash and bank deposits in that state. Generally speaking, if you have around $3,500 or less, you should be fine. The federal wildcard exemption can be used to cover personal property, which includes cash and bank deposits up to just over $10,000. However, you may wish to use this for other property.

It really is a balancing act and legal strategy that determine which bankruptcy exemptions to use to cover as much of your property as possible. More importantly, if you give yourself enough time to create a checklist of all of your property, and itemize it against the allowable exemptions in your state, you can usually find a way to keep all of your property while getting rid of credit card debt and other unsecured debt.

Talk to a bankruptcy attorney to find out how best to protect your personal property should you decide to file for bankruptcy protection. If you get professional legal representation, then you know you will have the best shot at keeping your personal property and maintaining access to your accounts during the bankruptcy process.