April 8, 2020


France Law Group, LLC
Attorneys at Law

6545 W. Central Avenue, Suite 203 Toledo, Ohio 43617

Scott E. France, Esq.

Phone: (419) 725-9300
We are a debt relief agency. We help people file for bankruptcy relief under the bankruptcy code.

Toledo bankruptcy attorney Scott France offers some insight about the recently passed CARES Act and the $1,200.00 stimulus checks.  

Reference: Coronavirus Aid, Relief, and Economic, Security Act (Sec. 1113 – Bankruptcy) -recent amendment: March 27, 2020

H.R. 748. CARES Act

Disclaimer: The COVID-19 pandemic has been presenting daily challenges to all of us, including our lawmakers. There have been some recent amendments to the CARES Act, which in part deals with both the $1,200.00 stimulus checks as well as Bankruptcy. This blog merely offers some insight to the latest version of the Act.

Is my $1,200.00 stimulus check at risk if I file Chapter 7 bankruptcy?

Bankruptcy worksheet

Yes, possibly. The funds that you are about to receive are an asset of your Chapter 7 bankruptcy estate. As such, these funds need to be treated carefully if you are about to file a Chapter 7 bankruptcy in Ohio.. It is our current opinion that the recent amendments to the CARES Act do not offer a specific exemption to protect the $1,200.00 stimulus check, which many Chapter 7 debtors are expecting. For Chapter 7 debtors in Ohio, the list of available exemptions can be found in the Ohio Revised Code (2329.66).

Two specific bankruptcy exemptions may prove helpful to Ohio Chapter 7 debtors hoping to protect their $1,200.00 stimulus checks:

  1. The “wildcard exemption” (ORC 2329.66(A)(18) protects up to $1,325.00 of a debtor’s property, including money. The wildcard exemption can be broken into smaller pieces but cannot collectively exceed $1,325.00.  
  2. The “cash exemption” (ORC 2329.66(A)(3) protects up to a total of $500.00 of your money. Typically the “cash exemption” is used to protect monies that are already in your possession, such as cash and most bank deposits. Chapter 7 debtors in Ohio who have an unused portion of the cash exemption may be able to use the leftover amount towards the $1,200.00 stimulus check. Be sure to inform your Chapter 7 bankruptcy attorney as to whether or not your $1,200.00 economic stimulus check has arrived.

What if COVID-19 has affected my ability to make Chapter 13 plan payments?

COVID - 19

It is our current opinion that the recent amendments to the CARES Act may offer some help to Chapter 13 bankruptcy debtors who have experienced a material financial hardship due to the COVID-19 pandemic. The CARES Act may offer Chapter 13 debtors an opportunity to extend their repayment plan out to a total of 7 years after the time that the first payment under the original confirmed plan was due. This extension is not automatic to Chapter 13 debtors as such an extension must first be approved by the Court after notice and a hearing. By extending a Chapter 13 repayment plan, it may be possible to pay the missed payments on the back end of the Chapter 13 repayment plan period. There is a sunset provision in the CARES Act of 1 year from its enactment.

Related Article: “Is my stimulus money at risk if I file bankruptcy before I get the funds?”

by: Andrea Wimmer, Esq. (ref:

 Tag: #Bankruptcy #BankruptcyChecks #Stimulus #COVID19 #CoronavriusImpacts