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Will the Bankruptcy Trustee Take My Disability Check?

By Jill Michaux, Kansas Bankruptcy Attorney on Nov 3, 2007 in Bankruptcy Practice and Procedure, General Bankruptcy Information, Kansas

The bankruptcy trustee cannot take Social Security disability payments and Veterans Administration benefits.

Private disability insurance payments are exempt under Kansas law and federal bankruptcy law. Compensation paid for work injuries is also exempt in Kansas.

If you have a claim pending for any disability benefits you should list the claim as an asset in your bankruptcy schedules and discuss with your attorney whether you can exempt the pending claim and any money you maybe paid for future benefits or back pay. You should not cash any disability checks without direction from your bankruptcy attorney.

If you liked that post, then try these...

New Median Income and Means Test Numbers Go Into Effect on October 15, 2007 by Jonathan Ginsberg, Atlanta Bankruptcy Attorney

Will My Retirement Account Be Taken In Bankruptcy? by Michael G. Doan, San Diego Bankruptcy Attorney

What's Wrong with the Mortgage Industry’s Objections to the “Helping Families Save Their Homes in Bankruptcy Act of 2009”? by Peter Orville, Attorney at Law

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