Iowa Bankruptcy Laws

Standard federal filing fees. Iowa has two bankruptcy districts: Northern (Cedar Rapids) and Southern (Des Moines).

Pre-filing credit counseling and pre-discharge debtor education required. Means test compares income to Iowa median.

The homestead is exempt to unlimited value. Acreage limits: 1/2 acre within a city or town, 40 acres outside a city or town. If value is less than $500, acreage may be enlarged until it reaches that amount. Must have resided in Iowa for at least 730 days before filing to claim Iowa exemptions.

One motor vehicle is exempt up to $7,000 in equity.

Clothing, household furnishings, appliances, musical instruments, and other personal property: up to $7,000. Jewelry: $2,000. Books, bibles, portraits, pictures, and paintings: $1,000.

Up to $1,000 in any personal property including cash, not otherwise exempt.

Non-farm debtors: implements, professional books, and tools of the trade up to $10,000. Farming operations: all implements and equipment reasonably related to a normal farming operation are exempt (no dollar cap).

ERISA-qualified plans (401(k), 403(b), pensions), Keoghs, traditional and Roth IRAs are fully exempt.

Iowa has opted out of the federal bankruptcy exemptions. Debtors filing in Iowa must use Iowa's state exemptions exclusively.

Accrued wages and tax refunds are exempt up to $1,000 total.