Filing Chapter 7 Bankruptcy in North Dakota (2026)
Reviewed by DocDraft Legal Team · North Dakota · Last updated August 18, 2026
Chapter 7 bankruptcy is federal law, but the property you keep is set by North Dakota. North Dakota is an opt-out state: under N.D.C.C. 28-22-17 you must use North Dakota's exemptions and cannot choose the federal 522(d) list. This page explains North Dakota's homestead exemption of $150,000 under N.D.C.C. 47-18-01, the motor vehicle and wildcard figures, the means-test median income, and the single U.S. Bankruptcy Court for the District of North Dakota where residents file. Chapter 7 discharges most unsecured debt but not most student loans, recent taxes, or child and spousal support.
Does North Dakota use state or federal bankruptcy exemptions?
North Dakota is an opt-out state. Under N.D.C.C. 28-22-17 the legislature opted out of the federal 11 U.S.C. 522(d) exemptions, so a debtor filing in North Dakota must use the North Dakota exemption set and cannot elect the federal list. You cannot mix state and federal exemptions.
Can I keep my house if I file Chapter 7 in North Dakota?
Often yes. Under N.D.C.C. 47-18-01 North Dakota's homestead exemption protects up to $150,000 of equity in your home, house trailer, or mobile home. A married couple cannot double this amount. If your home equity fits within $150,000, Chapter 7 generally lets you keep the house.
Can I keep my car if I file Chapter 7 in North Dakota?
Usually yes if your equity is modest. Under N.D.C.C. 28-22-03.1 North Dakota exempts $2,950 of motor vehicle equity, rising to $32,000 if the vehicle is modified for an owner's disability at a cost of at least $1,500. If your equity is at or below the figure, the car is protected.
What is the income limit to file Chapter 7 in North Dakota?
For cases filed on or after July 15, 2026, the U.S. Trustee median income figures for North Dakota are $73,549 for one earner, $96,352 for two, $106,686 for three, and $137,817 for four, adding $11,100 per additional person. At or below your household figure, you pass the first part of the means test.
North Dakota's Opt-Out Rule, the $150,000 Homestead, and Where You File
North Dakota is a bankruptcy opt-out state. Under N.D.C.C. 28-22-17 the legislature opted out of the federal 11 U.S.C. 522(d) exemptions, so a debtor filing in North Dakota must use North Dakota exemptions and cannot choose the federal set. The headline protection is the homestead exemption under N.D.C.C. 47-18-01, which shields up to $150,000 of equity in a home, house trailer, or mobile home; a married couple cannot double it. North Dakota protects $2,950 of motor vehicle equity under N.D.C.C. 28-22-03.1, and that same statute supplies the wildcard: a head of family may exempt up to $7,500 of any personal property, or a single debtor with no dependents up to $3,750, while a debtor who claims no homestead may instead take a $10,000 exemption in any nonexempt property. Retirement accounts, wages, and household goods have their own protections. North Dakota is a single federal judicial district, so every resident files in the U.S. Bankruptcy Court for the District of North Dakota, which sits in Fargo and Bismarck.
Relevant Laws
North Dakota Homestead Exemption (N.D.C.C. 47-18-01)
Sets North Dakota's homestead exemption at up to $150,000 of equity in a home, house trailer, or mobile home, which a married couple cannot double. This is the exemption that lets many North Dakota homeowners keep their house in Chapter 7.
North Dakota Opt-Out From Federal Exemptions (N.D.C.C. 28-22-17)
The statute by which North Dakota opted out of the federal 11 U.S.C. 522(d) exemptions. Because of this section, a debtor filing bankruptcy in North Dakota must use the North Dakota exemption set and cannot elect the federal list.
North Dakota Vehicle and Wildcard Exemptions (N.D.C.C. 28-22-03.1)
Exempts $2,950 of motor vehicle equity (up to $32,000 for a disability-modified vehicle) and supplies the wildcard: $7,500 for a head of family or $3,750 for a single debtor, or a $10,000 exemption in lieu of the homestead. It also covers retirement account protections.
Federal Bankruptcy Code Exemptions and Means Test (11 U.S.C. 522, 707)
The federal law behind Chapter 7. Section 522(b)(2) lets a state opt out of the federal 522(d) exemptions, which North Dakota has done, and section 707(b) sets the means test measured against state median income.
Regional Variances
North Dakota Chapter 7 Exemption Table
Homestead
N.D.C.C. 47-18-01: up to $150,000 of equity in a home, house trailer, or mobile home. A married couple cannot double the amount. Equity above $150,000 may be reachable by the trustee.
Motor vehicle
N.D.C.C. 28-22-03.1: $2,950 of equity in a motor vehicle, rising to $32,000 if the vehicle is modified for the owner's disability at a cost of at least $1,500. Equity above the figure may be reachable.
Wildcard
N.D.C.C. 28-22-03.1: a head of family may exempt up to $7,500 of any personal property, or a single debtor with no dependents up to $3,750. A debtor who claims no homestead may instead take a $10,000 exemption in any nonexempt property in lieu of the homestead.
Personal property
N.D.C.C. 28-22-02 exempts an absolute list including the family Bible and books, clothing, and specified provisions, while additional household goods, furniture, and tools fall under the alternative exemptions in 28-22-03.1 that a debtor may select up to the statutory limits.
Wages
N.D.C.C. 32-09.1-03 exempts 75 percent of disposable earnings, tracking the federal floor: a creditor may reach no more than 25 percent of disposable earnings or the amount above 40 times the federal minimum wage, whichever is less. Support orders and tax debts follow different limits.
Retirement
N.D.C.C. 28-22-03.1 exempts retirement benefits, IRAs, and Keogh plans up to $100,000 per plan and $200,000 in the aggregate, with an unlimited exemption to the extent reasonably necessary for the support of the debtor and dependents. ERISA-qualified plans are separately excluded from the estate under federal law.
Suggested Compliance Checklist
Confirm the current North Dakota means-test median income
Before you file days after startingCheck your household size against the U.S. Trustee North Dakota median income figures in effect on your filing date, since these update periodically. For cases filed on or after July 15, 2026 the figures are $73,549 for one, $96,352 for two, $106,686 for three, and $137,817 for four, adding $11,100 per additional person.
Complete the pre-filing credit counseling course
Within 180 days before filing days after startingTake an approved credit counseling course from a provider authorized for the District of North Dakota and keep the certificate. You must file it with your petition. Skipping this can get your case dismissed before your debts are addressed.
Value your assets and apply the North Dakota exemptions
Before preparing your schedules days after startingValue your home, vehicle, and personal property so you can match assets to North Dakota exemptions. Decide whether to claim the 47-18-01 homestead or take the $10,000 in-lieu wildcard, and confirm your vehicle equity fits the 28-22-03.1 figure.
Prepare and file your petition and schedules
Filing day days after startingFile your petition, schedules, and exemption claims in the U.S. Bankruptcy Court for the District of North Dakota, with divisional offices in Fargo and Bismarck. Filing triggers the automatic stay that pauses collection and garnishment.
Attend the 341 meeting and finish the debtor education course
Before discharge days after startingAttend the 341 meeting of creditors and answer the trustee's questions under oath, then complete the required post-filing financial management course and file the certificate. Both are required before the court will grant your discharge. An attorney can help with contested exemptions.
| Task | Description | Document | Days after starting |
|---|---|---|---|
| Confirm the current North Dakota means-test median income | Check your household size against the U.S. Trustee North Dakota median income figures in effect on your filing date, since these update periodically. For cases filed on or after July 15, 2026 the figures are $73,549 for one, $96,352 for two, $106,686 for three, and $137,817 for four, adding $11,100 per additional person. | - | Before you file |
| Complete the pre-filing credit counseling course | Take an approved credit counseling course from a provider authorized for the District of North Dakota and keep the certificate. You must file it with your petition. Skipping this can get your case dismissed before your debts are addressed. | - | Within 180 days before filing |
| Value your assets and apply the North Dakota exemptions | Value your home, vehicle, and personal property so you can match assets to North Dakota exemptions. Decide whether to claim the 47-18-01 homestead or take the $10,000 in-lieu wildcard, and confirm your vehicle equity fits the 28-22-03.1 figure. | - | Before preparing your schedules |
| Prepare and file your petition and schedules | File your petition, schedules, and exemption claims in the U.S. Bankruptcy Court for the District of North Dakota, with divisional offices in Fargo and Bismarck. Filing triggers the automatic stay that pauses collection and garnishment. | - | Filing day |
| Attend the 341 meeting and finish the debtor education course | Attend the 341 meeting of creditors and answer the trustee's questions under oath, then complete the required post-filing financial management course and file the certificate. Both are required before the court will grant your discharge. An attorney can help with contested exemptions. | - | Before discharge |
Frequently Asked Questions
Under N.D.C.C. 47-18-01 North Dakota's homestead exemption protects up to $150,000 of equity in your home, house trailer, or mobile home. A married couple filing together cannot double the amount. If your equity exceeds $150,000, the trustee may be able to reach the excess, though many filers keep their homes under this figure.
Under N.D.C.C. 28-22-03.1 a head of family may exempt up to $7,500 of any personal property, or a single debtor with no dependents up to $3,750. A debtor who claims no homestead may instead take a $10,000 exemption in any nonexempt property in lieu of the homestead. You use one of these approaches, not several at once.
No. Chapter 7 discharges most unsecured debt like credit cards and medical bills, but it does not erase most student loans, recent income taxes, child support, or spousal support, and it will not discharge debts from fraud. Secured debts like a car loan remain unless you surrender the collateral or reaffirm the loan.
North Dakota is a single federal judicial district, so you file in the U.S. Bankruptcy Court for the District of North Dakota. The court has divisional offices in Fargo and Bismarck. You file where you have lived for most of the prior 180 days, and filing triggers the automatic stay that pauses collection.
Under N.D.C.C. 32-09.1-03 North Dakota follows the federal wage-protection floor, exempting 75 percent of your disposable earnings, so a creditor can generally reach no more than 25 percent of disposable earnings or the amount above 40 times the federal minimum wage, whichever is less. Support orders and tax debts follow different limits.
Other North Dakota guides
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