Definition - What does Wildcard Exemption mean?
A wildcard exemption is an exemption that is available in most states during bankruptcy. It allows for the debtor to choose a property to protect over all others. That property does not necessarily have to be the family home. In most places, the wildcard exemption is made in addition to allowing for the exemption of the family home.
Justipedia explains Wildcard Exemption
Although the application of a wildcard exemption in a bankruptcy is defined in federal law, it is sometimes ruled as too lenient in giving the opportunity to keep more assets than a family actually needs. The amount of the exemption differs from state to state. Once a wildcard exemption is made, that piece of property is protected from seizure by creditors or sale by the liquidator/receiver.