Almost every new customer that wants to file bankruptcy doesn't file "against" something. What the client wants to say, is that they would like to retain their house or car. When filing for bankruptcy, it is impossible "against the file" an item that you want to keep. There is, however, a legal tool which can keep these items in your possession: reaffirmation.
Bankruptcy reaffirmation agreement is a brand new contract signed a debtor in bankruptcy with a creditor or lender, which reaffirms the debt with the responsibility of debtor (is) the underlying obligation.In terms of popular secular: stand-by arrangement is an agreement between the debtor (you) and the creditor (the Bank) that allows to keep the debt (or monthly payments) and element (the House) .Fondamentalement, bring you to life the obligation that put you to bed in your declaration of bankruptcy.
Bankruptcy, the burden is placed on the applicant in the list of all the debts of the debtor, obligations, commitments in the annexes to the bankruptcy and filing of petition bankruptcy the "application" to meet debts listed with the exception of debts triggers non-releasable priority and special unguaranteed debt) student loans .Contrairement these debts dischargeable, all other debts, including debts secured by guarantees such as automobiles and home mortgages are subject to the discharge of the bankrupt and the secured creditor is able to exercise their rights to call property secured by recovery, estoppel or any other legal proceedings related to the type of guarantees.
To stop the secured creditors to remove the property secured in return for the discharge of the underlying debt, the debtor may retain and continue to pay for monthly obligations or an agreement confirmation, which must be filed and approved by the bankruptcy court (a confirmation agreement is legally binding and therefore you should consult a lawyer before signing anything).
In balancing benefits and disadvantages of a reaffirmation, the first optimistic view would be to sign an agreement confirmation as a tool to start fresh and begin to rebuild credit you in having your monthly debt payments has reaffirmed to obtain these lenders for crédit.Cependant offices, the pessimist in me side can not avoid to reflect on the possibility to take behind on payments and in the worst case, lose the property via the recovery of possession or foreclosure, within eight years after the bankruptcy filing to the point where the debtor will become responsible for any gap after the resumption of possession or foreclosure, which will be not releasable as it is considered reaffirmed the dette.En sum, it will have to be each debtor (s) informed decision after weighing their priorities.
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