Every day people move to Florida for varying reasons. Currently, it is full of residents that grew up in a different state. While some move for relationship purposes, others move to retire with the beautiful views Florida has to offer. Debts can also make a person move to a new state. You might have chosen to move to Florida to look for work, make enough money, and pay back creditors. Unfortunately, sometimes things don’t work out as planned. Your creditors might now be more furious than before because you still haven’t paid them and you currently live in a different state. To the creditors, it might seem like you are running away from your responsibility.
In such a situation, thinking about filing for bankruptcy is understandable. However, you might have several questions about filing for bankruptcy having moved from another state. This article addresses two commonly asked questions.
Can I File for Bankruptcy in Florida If I Moved Here From Another State?
According to the law, as long as a debtor has resided in a state for 180 days or a longer portion of the 180 days, then he or she can file for bankruptcy. Therefore, before you file for bankruptcy as an individual that moved to Florida from another state, you must first reside in Florida for more than 90 days out of the past 180 days. Therefore, having moved to Florida from another state cannot prevent you from filing for bankruptcy. However, you must qualify just like everyone else. For instance, if you want to file for a Chapter 7 bankruptcy, you must excel in the means test.
Can the Length of Residence Affect Bankruptcy Exemptions?
You have the right to file for bankruptcy in Florida as long as you have lived in the state for at least 91 days, but the length of residence does affect bankruptcy exemptions. State laws govern bankruptcy exemptions, and for you to use those exemptions, you must be a resident of a particular state for at least two years. Therefore, if you file for bankruptcy in Florida before your two years (730 days) elapse, you will use your previous state’s exemptions.
However, you can only use the other state’s exemptions if the state laws allow people no longer leaving there to use that state’s bankruptcy exemptions. If the state laws allow that, you can use the exemptions and protect your possessions. In case the regulations don’t allow that, you have to wait until you reside in Florida for 730 days to use Florida’s bankruptcy exemptions.
The 730-day rule helps the system prevent people from outsmarting states. For instance, in Florida, the homestead exemption is quite favorable. Without such a law, many would move to the state because of such an exemption.
Contact Us for Help Today
If you are considering filing for bankruptcy and you moved from a different state to Florida, get in touch with us. Let us help you understand if you are eligible to file for bankruptcy already and if not what you should do as you wait to qualify. Reach a Jupiter bankruptcy attorney at the law offices of Julianne Frank at Esq. at (561) 220-2528 to schedule a consultation for free.