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An example of a reaffirmation agreement might be the debtors agreement to continue making payments on an auto loan after the bankruptcy discharge in return for keeping a car that would otherwise be subject to repossession.
What is a reaffirmation agreement form?
A reaffirmation agreement is an agreement between a chapter 7 debtor and a creditor that the debtor will pay all or a portion of the money owed, even though the debtor has filed bankruptcy.
What are the requirements for a reaffirmation agreement?
Reaffirmation agreements require court approval to make sure the debtor can reasonably afford to continue making the payments. If the debtor has an attorney, the attorney must confirm that the agreement is in the debtors best interest and wont cause undue financial hardship.
What is the purpose of a reaffirmation agreement?
A debtor may enter into a reaffirmation agreement in order to take a debt owed on an automobile (for example) and agree to remove that debt from being dischargeable. This is the case for many debtors who want to desire to keep their vehicle even though money is still owed on the car loan.
What is the legal definition of reaffirmation?
What Is Reaffirmation? Reaffirmation is a type of agreement a debtor makes with a lender to repay some or all of a debt despite going through bankruptcy proceedings. When a person files for bankruptcy, they do so in order to be relieved of a debt burden they cannot pay.
reaffirmation agreement form chapter 7
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A contractual agreement to repay such a debt is called a reaffirmation agreement and is entered into between the debtor and a specific creditor. Reaffirmation agreements are strictly voluntary. They are not required by the Bankruptcy Code or other state or federal law.
What happens if mortgage is not reaffirmed but still paying?
As long as the bank is willing to accept payments and you abide by the terms of your already existing loan, you should be able to keep the house and maintain payments to satisfy the mortgage but you will not likely be able to modify or refinance without having reaffirmed the debt.
agreement reaffirmation form
Reaffirmation Agreement
1. I will have reaffirmed the excess loan amount that I received only after I sign and return this form to my loan holder and it is processed.
The objective of this Agreement is to establish a framework for cooperation between the Parties to promote the conservation and protection of the environment,
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