{"id":286823,"date":"2021-04-12T16:15:02","date_gmt":"2021-04-12T21:15:02","guid":{"rendered":"https:\/\/ability-fl-prod.internetbrands.com\/ability-law\/bankruptcy\/bankruptcy-laws-by-state\/alaska-bankruptcy-exemptions-and-law.html"},"modified":"2026-07-30T11:35:29","modified_gmt":"2026-07-30T16:35:29","slug":"alaska-bankruptcy-exemptions-and-law","status":"publish","type":"page","link":"https:\/\/www.findlaw.com\/bankruptcy\/bankruptcy-laws-by-state\/alaska-bankruptcy-exemptions-and-law.html","title":{"rendered":"Alaska Bankruptcy Guide: Exemptions, Eligibility, and Filing"},"content":{"rendered":"\n
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Alaska Bankruptcy Guide: Exemptions, Eligibility, and Filing<\/h1>\n\n
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\n By Susan Buckner, J.D.<\/a> | Legally reviewed by Catherine Hodder, Esq.<\/a>\n | Last updated\n
\n \n <\/i>\n Legally Reviewed\n <\/summary>\n\n
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This article has been written and reviewed for legal accuracy, clarity, and style by FindLaw\u2019s team of legal writers and attorneys<\/a> and in accordance with our editorial standards<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n\n

\n \n <\/i>\n Fact-Checked\n <\/summary>\n\n
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The last updated date refers to the last time this article was reviewed by FindLaw or one of our contributing authors<\/a>. We make every effort to keep our articles updated. For information regarding a specific legal issue affecting you, please contact an attorney in your area<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n<\/section>\n\n\n

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Key Takeaways<\/h2>\n

Bankruptcy is a legal process that allows Alaska<\/span> residents to eliminate or reorganize their debt while protecting essential assets through state or federal exemptions. To qualify, debtors must complete mandatory credit counseling and meet specific eligibility requirements.<\/p>\n\n <\/div>\n <\/div>\n<\/div>\n\n\n

Alaska<\/span>\u2019s bankruptcy laws<\/span> give its residents the chance to clear their debts and get a fresh start<\/span> while protecting needed personal property<\/span> and home equity. The bankruptcy process stops creditor collections and eliminates unsecured debt.<\/p>\n

Alaska<\/span> gives debtors the option of choosing between federal exemptions and Alaska<\/span> state exemptions in bankruptcy cases<\/span>. Which one you select depends on your circumstances and the property you need to protect. This article reviews the alternatives and types of bankruptcy most Alaska<\/span> residents consider when facing bankruptcy.<\/p>\n

Alaska<\/span> Bankruptcy<\/span> Law<\/span><\/h2>\n

To file for bankruptcy under Alaska<\/span> law, you must meet a few basic requirements. If you plan to use Alaska<\/span> bankruptcy<\/span> exemptions, you must have lived in the state for 730 days (two years) prior to filing for bankruptcy. Otherwise, you must use either your previous state\u2019s exemptions or federal exemptions.<\/p>\n

Before filing for any bankruptcy, you must complete a mandatory credit counseling course within 180 days of filing. Approved credit counseling agencies can be found on the Bankruptcy Trustee<\/a> website. After discharge, you will need to take a financial management course.<\/p>\n

Alaska<\/span> follows the Federal Rules of Bankruptcy Procedure<\/span> and the Federal Bankruptcy Code<\/span><\/a> for most bankruptcy proceedings. Bankruptcy cases<\/span> are filed in the U.S. Bankruptcy Court<\/span> of the District of <\/span>Alaska<\/span> in either Anchorage<\/span>, Juneau, or Fairbanks<\/span>. The filing fees<\/span> are typically $338 for Chapter 7 and $313 for Chapter 13. You may request installment payments or a fee waiver<\/span>. If you use an attorney, it may be possible to make installments through the attorney\u2019s fee.<\/p>\n

Debtors should consult a bankruptcy attorney<\/span><\/a> when deciding what type of bankruptcy to file. There are two basic types of consumer bankruptcy<\/span> for most individual filings. Let\u2019s take a closer look at each one.<\/p>\n

Chapter 7 Bankruptcy<\/span><\/h3>\n

A Chapter 7 bankruptcy<\/span><\/a>, also called a liquidation<\/span> bankruptcy, is often used by debtors who have unsecured debts like medical bills and credit card debt. In Chapter 7, a bankruptcy trustee takes charge of your personal assets and sells any non-exempt property to pay off creditors. At the end of the process, the bankruptcy judge<\/span> discharges any remaining debt.<\/p>\n

To qualify for Chapter 7, you must pass a means test<\/span><\/a>. If your annual income is less than the median annual income in Alaska<\/span>, you automatically qualify. For other applicants, the court looks at income and monthly living expenses to determine eligibility. The median annual income varies by location and is adjusted by the U.S. Department of Justice\u2019s Bankruptcy Trustee Program.<\/p>\n

Chapter 13 Bankruptcy<\/span><\/h3>\n

In a Chapter 13 bankruptcy<\/span><\/a>, also known as reorganization<\/span>, debtors work with the bankruptcy trustee to develop a repayment plan<\/span>. Debtors must have enough disposable income to pay their creditors and cover their living expenses for three to five years. The repayment plan<\/span> allows debtors to keep their property while paying off their unsecured debts.<\/p>\n

As long as the debtor has stayed current on their payment plan, the judge discharges any remaining deficiencies at the end of the process. Chapter 13 bankruptcy<\/span> is often used in foreclosures<\/span> to allow debtors to eliminate excess unsecured debt so they can begin paying their mortgages.\u200b<\/p>\n

Automatic Stay<\/span><\/h3>\n

Both types of bankruptcy begin with an automatic stay<\/span><\/a>. The stay immediately halts all creditor collection activities, including:<\/p>\n