Bankruptcy in Connecticut (2026): Exemptions & Means Test

Bankruptcy is a federal process, but the property you can protect and the income limits that shape Chapter 7 eligibility turn on state law. Connecticut is one of a minority of states that lets you choose between Connecticut's own exemptions and the federal bankruptcy exemptions, and its homestead protection is a fixed dollar amount rather than the unlimited equity seen in states like Florida or Texas.

This guide is part of our Bankruptcy by State series. It is general legal information, not legal advice, and the dollar figures below change periodically, so confirm current amounts before you rely on them.

Does Connecticut use state or federal bankruptcy exemptions?

Connecticut is one of the states that did not opt out of the federal exemption scheme. Under 11 U.S.C. 522(b), each state may force its residents to use state exemptions, but Connecticut instead lets a filer choose. You may claim either the Connecticut exemptions in Conn. Gen. Stat. 52-352b or the federal exemptions in 11 U.S.C. 522(d). You must choose one full set; you cannot combine the most generous parts of each.

Because of this choice, comparing the two systems is the central planning step for a Connecticut filer. The Connecticut homestead is larger than the federal homestead, while the federal set offers a sizable wildcard that can protect cash, accounts, or other property the state list does not reach. A spouse who co-owns property and files jointly may, in many cases, double exemption amounts.

To use Connecticut's exemptions, residency rules under 11 U.S.C. 522(b)(3) generally require that you have been domiciled in Connecticut for the 730 days before filing; otherwise an earlier state's exemptions may apply.

Connecticut homestead exemption

Connecticut protects the homestead of the filer up to $250,000 in equity, measured as fair market value minus any statutory or consensual lien (Conn. Gen. Stat. 52-352b(21)). The home can be owner-occupied real property, a co-op, or a mobile manufactured home. This figure replaced the long-standing $75,000 cap when Public Act 21-161 took effect on October 1, 2021, and Connecticut courts have read the expanded amount as applying to bankruptcy and post-judgment proceedings begun on or after that date. The $75,000 figure is not entirely obsolete, though: subdivision (21) still caps the homestead exemption at $75,000 when the money judgment against the filer arises from a claim of sexual abuse or exploitation of a minor, sexual assault, or other willful, wanton, or reckless misconduct committed by a natural person.

Unlike a state such as Florida, Connecticut caps homestead protection at a dollar figure rather than allowing unlimited equity, and there is no acreage rule. If your equity exceeds the cap, the excess is not protected by this exemption.

Motor vehicle, wildcard, and personal property

Connecticut's statute exempts up to two motor vehicles worth $7,000 in the aggregate, with value figured as fair market value less liens (52-352b(10)). The wildcard exemption protects any interest in any property up to $1,000 (subdivision 18), which can be applied to assets that do not fit another category.

The state list also protects necessary apparel, bedding, foodstuffs, household furniture and appliances; tools, books, and instruments necessary to your occupation, profession, or farming; health aids; and a range of benefits including Social Security, veterans, unemployment, and workers' compensation. Wages are protected through the garnishment limits in Conn. Gen. Stat. 52-361a, which cap a weekly levy at the lesser of 25 percent of disposable earnings or the amount above 40 times the minimum wage.

The Chapter 7 means test in Connecticut

The means test screens Chapter 7 filings for a presumption of abuse. The first step compares your household's average monthly income over the six months before filing, annualized, to the Connecticut median family income for your household size as published by the U.S. Trustee Program. If you are at or below the median, there is no presumption of abuse and you do not need to complete Form 122A-2, but that alone does not make you eligible for Chapter 7. If you are above it, a second calculation of disposable income decides whether a presumption of abuse arises or you are steered toward Chapter 13.

For cases filed on or after April 1, 2026, the Connecticut median family income figures are:

• 1 earner: $84,302
• 2 people: $106,224
• 3 people: $134,470
• 4 people: $159,934

Add $11,100 for each household member beyond four. These figures are updated by the U.S. Trustee Program roughly twice a year, so confirm the current table for your filing date before relying on them.

Chapter 7 vs. Chapter 13 and the automatic stay

Chapter 7 is liquidation. A trustee may sell non-exempt property to pay creditors, and most remaining unsecured debt is discharged, usually within about four to six months. It suits filers with limited non-exempt assets and primarily unsecured debt.

Chapter 13 is reorganization. You keep your property and repay some or all of what you owe through a court-approved plan lasting three to five years, which can help homeowners cure a mortgage arrearage or filers whose income is too high for Chapter 7.

Filing either chapter triggers the automatic stay under 11 U.S.C. 362, which immediately halts most collection efforts, including foreclosure sales, wage garnishment, and collection calls, while the case proceeds.

Where you file in Connecticut

Connecticut is a single federal judicial district, so all cases go to the U.S. Bankruptcy Court for the District of Connecticut. The court maintains offices in Hartford, New Haven, and Bridgeport. Filers must complete a credit-counseling course from an approved provider before filing and a debtor-education course before discharge.

What bankruptcy can and cannot do

Most unsecured debts, such as credit cards, medical bills, and personal loans, are dischargeable. Several categories generally are not, including most student loans, recent income taxes, domestic-support obligations like child support and alimony, and debts from fraud. The choice between the Connecticut and federal exemption sets can change which assets you keep, so have a Connecticut lawyer compare both exemption sets in a free bankruptcy evaluation before you file (attorney advertising).

Frequently Asked Questions

Does Connecticut use state or federal bankruptcy exemptions?

Both are available. Connecticut did not opt out of the federal exemptions, so a filer may choose either the Connecticut exemption set in Conn. Gen. Stat. 52-352b or the federal set in 11 U.S.C. 522(d). You must use one full system and cannot mix them.

What is the homestead exemption in Connecticut?

Connecticut protects up to $250,000 of equity in an owner-occupied home, co-op, or mobile manufactured home (Conn. Gen. Stat. 52-352b(21)), figured as fair market value minus liens. The amount rose from $75,000 when Public Act 21-161 took effect October 1, 2021, except that the cap stays at $75,000 when the judgment against the filer arises from sexual abuse or exploitation of a minor, sexual assault, or other willful, wanton, or reckless misconduct. There is no acreage limit, but the protection is capped at the dollar amount. Confirm the current figure before relying on it.

What is the Connecticut median income for the means test?

For cases filed on or after April 1, 2026, the U.S. Trustee Program lists Connecticut median family income as $84,302 for one earner, $106,224 for two, $134,470 for three, and $159,934 for four, plus $11,100 for each additional person. These figures update about twice a year.

Will I lose my house or car if I file bankruptcy in Connecticut?

Not automatically. Whether you keep a home or vehicle depends on your equity, the exemption set you choose, and whether you are current on secured payments. Connecticut protects up to $250,000 of home equity (or $75,000 if the judgment against you arises from sexual abuse or exploitation of a minor, sexual assault, or other willful, wanton, or reckless misconduct) and two vehicles worth $7,000 in the aggregate, and the federal set offers different amounts. This is general information, not advice about your situation.

How much is the Connecticut motor vehicle exemption?

Connecticut exempts up to two motor vehicles worth $7,000 in the aggregate under Conn. Gen. Stat. 52-352b(10), measured as fair market value less liens. If you choose the federal exemptions instead, a separate vehicle figure applies.

Where do I file for bankruptcy in Connecticut?

In the U.S. Bankruptcy Court for the District of Connecticut, which has offices in Hartford, New Haven, and Bridgeport. Connecticut is a single federal district, so there is no separate division to choose by county.

What debts cannot be discharged in a Connecticut bankruptcy?

Bankruptcy is federal, so the non-dischargeable categories are the same nationwide. They generally include most student loans, recent income taxes, child support and alimony, and debts arising from fraud. Most credit card and medical debt is dischargeable.

Do I need to take a credit counseling course before filing?

Yes. Federal law requires a credit-counseling course from an approved agency within 180 days before filing, and a debtor-education course before your discharge is entered. This applies to filers in Connecticut as it does nationwide.