I had a recent free consultation in my Miami office, and the debtor asked me if his social security or disability payments would be affected by the filing of a Chapter 7 bankruptcy. The answer to that question is NO government Social Security or Disability payments are protected in bankruptcy. Additionally if the debtor is receiving social security or disability payments for their children, they too are protected in bankruptcy.

However there are instances where a debtor receives a one time lump sum payment for back owed disability or social security. Receiving that money and co-mingling it with other monies may become an issue in the future. It is probably best to put that money in a separate account and keep all the documents showing where the money came from.

If you are thinking of filing for bankruptcy and would like to schedule a free consultation with a Fort Lauderdale Bankruptcy Attorney then please contact Ofer Shmucher, of Shmucher Law, PL by calling 954.309.5559 or 305.741.5553. We offer free consultations seven days a week and are available for evening appointments.

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