The answer is: “Usually, neither.” In most cases, there is no effect on Social Security benefits and once in a while bankruptcy actually helps to protect the benefits that are due to you. As a starting point, by law, a person’s Social Security benefits cannot be assigned to any other …
Are your retirement funds in danger if you file bankruptcy?
Generally, no. Most retirement accounts are not considered to be part of the bankruptcy estate, and are out of the creditors’ reach. This includes traditional 401(ks), IRAs, government retirement accounts such as CalSTRS and more. If you are expecting a pension or are receiving a pension, creditors also usually don’t …

