What about family gifts?

family gifts bankruptcy consumer bankruptcy

What about family gifts?

Small customary gifts to family members are not voidable preferences. “Small” means less than $200 in aggregate during the past year.

Example: you give your daughter an Aston Martin for her birthday. If it’s a real one worth $250,000, it’s avoidable as a fraudulent transfer. If it’s a Corgi toy costing $25, it’s not.

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