Florida bankruptcy attorney Juan Burgos recently said that a new law signed by Republican Governor Ron DeSantis significantly enhances the financial relief available to residents seeking bankruptcy protection. This law increases the exemption limit on motor vehicles for individuals filing for bankruptcy, offering a critical lifeline to families attempting to retain their primary mode of transportation, according to the Florida attorney.
The updated law allows individuals to protect up to $5,000 of equity in their vehicles when filing for Chapter 7 bankruptcy in Florida, up from the previous limit of $1,000. Burgos said this increase offers more flexibility to those facing financial hardship, enabling them to keep essential assets while pursuing debt relief.
Juan Burgos, a 12-year advocate for debt relief and bankruptcy solutions, believes this change is a vital step forward in modernizing Florida’s bankruptcy exemptions.
“For too long, outdated laws have forced hardworking Floridians to make impossible decisions between keeping their vehicle or finding financial freedom,” said attorney Burgos. “This new exemption means families have a better shot at rebuilding their lives without sacrificing reliable transportation, which is often essential for employment, education, and recovery. Thanks to Governor DeSantis’ leadership, Florida residents can now access a fairer path to financial stability.”
To kick off 2025 and as part of his commitment to making debt relief accessible, Burgos is offering a special “$1499 Bankruptcy” rate for most cases, with filing fees not included. This option is designed to help more Floridians access the financial relief they need without the burden of high legal fees.
To help Florida residents understand the impact of this new law which increases the exemption limit on motor vehicles for individuals filing for bankruptcy, Burgos is hosting free statewide virtual Q&A sessions on January 23rd (English 7pm/ Spanish 8pm) and January 30th at 7:00pm (Portuguese). The sessions will cover:
- The updated motor vehicle exemption and who qualifies.
- How the new law applies to Chapter 7 and Chapter 13 bankruptcy.
- Key steps to protect your vehicle while achieving financial relief.
- Other assets protected in bankruptcy, including:
- Retirement accounts and tax-exempt savings: Includes IRAs, 401(k)s, and savings accounts for education, medical expenses, and hurricanes.
- Disability, Social Security, and veterans’ benefits: Covers disability income benefits, Social Security, unemployment benefits, and veterans’ benefits.
- Wages and life insurance protection: Exempts wages (unless waived in writing) and the cash surrender value of life insurance policies and annuities.
- Health aids and medical expenses: Protects professionally prescribed health aids for the debtor and their dependents.
“Understanding what you can protect during bankruptcy is crucial to regaining peace of mind,” Burgos said. “Our goal is to educate and empower Floridians to navigate this process effectively, knowing that their financial future can be restored.”
As a trilingual attorney, Burgos assists clients in English, Spanish, and Portuguese, ensuring accessibility to a broader community of clients in need of legal services.
“The start of a new year is the perfect time for a fresh start,” Burgos added. “This law arrives at an ideal moment, offering families the opportunity to hold onto what matters most while finding relief from overwhelming financial pressures.”
