The law is very generous for allowing people who file for bankruptcy (aka “debtors) to keep and protect their retirement accounts. Absent unusual circumstances, retirement accounts, such as IRAs, 401k accounts, and pension plans are generally fully exempt in bankruptcy, meaning that they cannot be taken to pay creditors. One of the most common types of retirement accounts that people have is a 401k account.

401k Accounts and 401k Loans in Bankruptcy
The law is very generous for allowing people who file for bankruptcy (aka “debtors) to keep and...