Once you file for bankruptcy under Chapter 7 or Chapter 13, all of your assets are under the control of the bankruptcy trustee. The instant you file for bankruptcy, a bankruptcy estate is established. According to the Bankruptcy Code a bankruptcy estate is comprised of all of your legal or equitable interests in property at the commencement of the case. Property of the estate also includes any interest in property that would have been property of the estate if such interest had been your interest on the date of the filing of the petition, and that you acquire or become entitled to acquire within 180 days after the date of filing. That estate includes all assets that exist at the moment you file bankruptcy. There are a few exceptions. One exception is the right to receive property by inheritance or bequest, when that right happens either before filing or within 180 days of filing bankruptcy. Frequently you can protect your personal or real property through the use of exemptions.

If you inherit money through a will, and the death occurs before bankruptcy or within 180 days of filing bankruptcy, you will be required to turn over the money. If there is no will involved, but rather a payable on death provision on a bank account, you are more than likely permitted to keep the money. In either case, you are required to inform the trustee of the inheritance.

If you live in Denver, Aurora, Arvada, Brighton, Broomfield, Commerce City, Englewood, Highlands Ranch, Lakewood, Lafayette, Littleton, Northglenn, Westminster, Wheat Ridge, or Golden, Colorado, and have any questions please feel free to contact me.

Kevin D. Heupel, Colorado Bankruptcy lawyer, 303-955-7570, Colorado Bankruptcy Help Email, personal bankruptcy free-consultation form.