Can creditors go after your Certificate of Deposit account?

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Can creditors go after your Certificate of Deposit account?

I recently lost my job so I withdrew my retirement plan. I put the money in a CD account. Can creditors go after the account?

Asked on October 5, 2010 under Bankruptcy Law, Nevada

Answers:

M.T.G., Member, New York Bar / FreeAdvice Contributing Attorney

Answered 11 years ago | Contributor

I believe that they can, unless it is designated as a retirement account in some way.  Creditors have great strength in attaching the accounts of those that they have obtained judgements against.  The law does protect certain assets such as retirement accounts and social security benefits, etc., but not those that can be seen as regular or glorified savings accounts.  I would go down to your bank and see if you can roll it over at this point in to a retirement account that is liquid (there are certain banking products that are available through certain providers that allow for "liquid" retirement accounts (IRa's) if you are 59 1/2, which means that it is still protected but liquid if you need it).  Do some checking around. Good luck. 


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