Under exemptions in the Bankruptcy Code,a debtor may keep both $21,625 in equity in a residence and $3,450 in equity in a motor vehicle.

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This is correct according to the federal bankruptcy exemption limits for 2021. Debtors are allowed to keep up to $21,625 in equity in their primary residence and up to $3,450 in equity in a motor vehicle. However, state-specific exemptions may vary.

Under Exemptions in the Bankruptcy Code,a Debtor May Keep Both