There are no federal protections in place shielding your IRA from seizure in a lawsuit. If you are sued, creditors may be able to access your retirement savings if you are required to pay a, The court’s decision means that an inherited IRA is not exempted from creditors’ claim if a person declares bankruptcy unless exempted under state law., The protection for these plans depends on your state residency, and whether the assets held are yours or if you inherited them. IRA Asset Protection, also known as IRA Creditor Protection or IRA Bankruptcy Protection, can help protect the assets in your IRA from lawsuits, creditors, liens lawsuits and much more., Title 2 of the New Jersey Code provides for the exemption of certain assets from seizure, including individual retirement accounts (IRAs). If you're being sued by a creditor in New Jersey, learn how to protect your retirement savings., A. Generally speaking, yes. If you make a rollover into an IRA and you reside in New Jersey your funds are protected from most creditors, said Anthony J. Vignier, a certified financial planner and attorney with Vignier Investment Group in Kearny. The laws are different in other states., Is your IRA protected from creditors? While there are some federal protections, much of the protection for IRAs varies by state. In this article, we will explore the benefits of an IRA, see what protection is available by state, and discuss your options when facing a lawsuit or other legal issue..