Yes, it most likely will. Your IRA might not be protected either as State specific laws govern whether they afford protection in the case of bankruptcy. Opening an IRA with the tax exempt funds will most likely be considered "fraudulent conveyance" which means the intentional hiding of the assets. That IRA would most likely not hold up and the funds would be subject to your creditors. I recommend you hire a bankruptcy attorney to assist you as you navigate your way through the bankruptcy process.

On a spiritual note, you need to look at your heart and what God would have you do with his money. 1 Chronicles 29:11,12 clearly indicate that God owns all the money and we are merely stewards (read managers) of it. Further, Psalm 37:21 states that the wicked borrow and do not repay. Even though bankruptcy will alleviate you of your legal obligations, the scriptures are clear that your moral obligation to repay all of your creditors still exists.

My final encouragement is for you to seek counsel from your church or Crown Ministries www.crown.org so that someone can come alongside you to support and provide you with the direction you need to avoid this from happening in the future. Adherence to biblical principals in the area of money is an important part of this process.

I pray you would consider these thoughts as you move forward. Thanks for your inquiry.