Category Archives for "Bankruptcy Glossary"

Reaffirmation Agreements

Reaffirmation Agreements in Chapter 7 Bankruptcy “To Reaffirm or Not to Reaffirm, That is the Question!” What is a Reaffirmation Agreement? A reaffirmation agreement in a Bankruptcy is a legally enforceable agreement to repay all or a portion of a debt. In order for the agreement to be valid the creditor must sign the agreement as […]

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Required Bankruptcy Courses

Classes are Required to File a Bankruptcy   Bankruptcy Courses  There are two required bankruptcy courses that must be completed in order to successfully complete your case.  Before you file bankruptcy you must complete a credit counseling class.  After the bankruptcy is filed, but before you receive your discharge, you must complete a money management […]

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What is The Chapter 13 Plan?

The “Plan” in a Chapter 13 Bankruptcy   “The “Plan” is a document that lays out what you want the Chapter 13 Trustee to do with the money to hand over every month during your bankruptcy.  It proposes and eventually dictates who to pay and how much to pay them.  It must be approved (confirmed)by […]

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What is Lien Avoidance?

Avoiding a Lien “Lien Avoidance”, or “Avoiding a Lien” is essentially wiping away that interest that a creditor has in your property, removing their right to repossess it, or otherwise “take it back”.   Avoiding Liens. Generally secured creditors maintain their security interest after the bankruptcy is filed.  However, in some cases that security interest (i.e. […]

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The Means Test

  The Means Test in Bankruptcy   The means test in bankruptcy was part of the new bankruptcy law (BAPCPA) passed in 2005.  It is seen as the gateway to Chapter 7 eligibility.  It answers the question “Do I Qualify for Bankruptcy?”  An individual or couple must enter their income and allowable expenses in an elaborate […]

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What is a Reaffirmation Agreement?

Reaffirmation Agreements in Bankruptcy A reaffirmation agreement is a legally enforceable agreement to repay all or a portion of a debt that would otherwise have been discharged in your bankruptcy.  In order for the agreement to be valid the creditor must sign the agreement as well as either your attorney or the Judge.  This is […]

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Secured Debts in Bankruptcy – Defined

What Are Secured debts? Secured Debts are debts that are ties to your property such as car loans and home mortgages.  Better stated, secured debts are those which the creditor has a claim which secured by property of the bankruptcy estate in accordance with a duly perfected security interest (generally defined as a lien which had […]

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The Automatic Stay In Bankruptcy

Automatic Stay Stops Creditors in Bankruptcy

Automatic Stay What is the Automatic Stay in Bankruptcy? It is relief!  It’s a stop sign.  It is an Order for the federal court to your creditors to quit trying to collect during the open bankruptcy case.  Generally this is the relief that many people are looking for, it’s when the lawsuits cease, the harassing […]

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