Massachusetts Bankruptcy Laws & Exemptions
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Massachusetts Bankruptcy Laws

Filing Bankruptcy in Massachusetts

If you're struggling with debt, bankruptcy is designed to help you get a fresh financial start by allowing you to get control of your financial life.

But it's also more than that. Massachusetts bankruptcy laws also provide strong property protections from collections.

To learn more about how the laws work, you can read the overview on this page or take your questions straight to a local Massachusetts bankruptcy lawyer.

For a free case evaluation with a local lawyer in Massachusetts, complete the free form on this page and we'll connect you right away.

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Massachusetts Bankruptcy Laws and Exemptions

Chapter 7 bankruptcy is designed specifically for people struggling with credit card, medical and personal loan debt. In only a few months, Chapter 7 bankruptcy may completely retire all such debts.

But you should be aware that in exchange for clearing these debts, your creditors may have the right to ask for a liquidation sale of valuables. This is rarely the case, though, because of the Chapter 7 exemptions in Massachusetts.

Exemptions outline the types and amounts of your property that is completely protected from a liquidation sale. These laws are different in each state, and Massachusetts has some of the strongest in the nation. There are allowances for your home, car and even your boat.

An overview of the exemptions is contained here, but you can get specific answers on how these laws might affect your property by speaking with a local attorney.


  • Up to $500,000 for real property, including land and buildings.


  • Up to $125 per week.


  • Up to $700 for one vehicle.

Personal Property

  • 100 percent of necessary clothes, beds and bedding.
  • $3,000 for household furniture.
  • Bibles and books worth no more than $200.
  • $500 of tools, implements and fixtures.
  • $500 for materials and stock necessary for carrying on a trade or business.
  • Up to $500 worth of boats, fishing tackle and nets.
  • $125 of cash, savings or other bank deposits.

Chapter 13 bankruptcy is often called “reorganization" because it allows the court to order and secure your debts in a 3-5 year repayment plan. Chapter 13 tends to work best for filers who have a regular, steady income and can make a monthly payment to cover the back debt.

Chapter 13 bankruptcy is also famous for helping filers save their home. The automatic stay, which takes effect as soon as a bankruptcy case is filed, prevents creditors from taking any collection action against the filer. Foreclosure is a type of collection, so a Chapter 13 case may halt foreclosure until you can regain control of your finances.

Talk to a Massachusetts Bankruptcy Lawyer Today

Massachusetts bankruptcy laws can be complicated. In order to fully take advantage of all the resources filing bankruptcy offers, many people in Massachusetts seek the help of an attorney.

A bankruptcy lawyer can answer your questions, explain how the laws impact you and take you through the case.

For a free case evaluation with a local Massachusetts bankruptcy lawyer, complete the free form on this page or call 877-349-1309. We can connect you right away with a sponsoring bankruptcy attorney near you.

Free Case Evaluation

Note: Keep in mind all laws are complex. If you need legal advice or want to fully understand how these laws affect you, please speak with a local attorney.

Laws may have changed since our last update. For the latest information on your state's bankruptcy laws, speak to a local bankruptcy lawyer.

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