If our home is in foreclosure,and never reaffirmed the debt through chapter 7-how will it affect us getting a home?
What happens to a mortgage after bankruptcy depends on whether or not the debt is reaffirmed. If the mortgage is reaffirmed the homeowner continues to pay it as if the bankruptcy had not been filed, since the debt has not been discharged. If the debt is not reaffirmed, what happens to the mortgage depends on the policies of the individual lender.
No. Troubled debt restructuring is an alternative to bankruptcy. Individual debts can be reaffirmed for reasons deemed otherwise advantageous to the debtor. TDRs are a creditor concession to that can be deemed by the creditor to be of greater benefit to them because they believe it might maximize their return when they determine that their precedence among other creditors might not yield as large a portion of the debt originally owed.
Chapter 13 is a reorganization of debt. I wouldn't think so as long as you reaffirmed the loan. Yet read the contract and see if this is even possible
Assuming a Chapter 7 in which a secured debt is not being reaffirmed, the debtor should act promptly to transfer the asset to the creditor.Other, non-exempt, assets are collected and sold by the trustee, not the creditors, and the trustee then takes his fee and distributes whatever may be left pro rata to the unsecured creditors.
Any debt discharged through BK is cleared and no longer exists. The debt may no longer exist but the lien against the property still exists. While you do not have to pay the loan, the note holder can still take possession of the property.
If there was a secured loan and you reaffirmed the debt in your chapter 7 and you have paid off the loan, you should get the title from the lender. If you surrendered the car to the lender in your chapter 7, your balance was discharged as an unsecured loan and you have not owned the car since you surrendered it.
There is a six year limitation for BK filing. Bankruptcy will delay but not stop foreclosure on secured property, unless the debt is reaffirmed with the lender.
The creditor is the lender. The bankrupt is the debtor. The lender never has to re-affirm he wants to get paid back.
Chapter 7 is debt elimination and is the more severe form of bankruptcy. Chapter 13 is where a repayment schedule is drawn up and you still payoff your debts.
In most Chapter 7 cases you are not including secured property unless you are surrendering the property back to the creditor. If you are holding on to secured property during a chapter 7 process the property must be reaffirmed with the creditor at time of filing meaning you have an agreement with the creditor to leave the property out of the bankruptcy and continue to make your payments. When you discharge debt through chapter 7 it doesn't make sense that you could keep a secured piece of property and not pay for it. Maybe you were unclear about what you were really doing.
Yes. Faith and credit of state pledged debt may be validated. The full faith, credit, and taxing power of the state are hereby pledged to the payment of all public debt incurred under this article and all such debt and the interest on the debt shall be exempt from taxation.
Anyone who is seriously struggling with debt can file for chapter 7 bankruptcy and it is up to the court to determine whether or not you will be eligible. Chapter 7 bankruptcy is usually best for people who:* Have no steady stream of income* Have a lot of exempt property* Cannot keep up with a strict payment plan
SOL time limits are set by the individual states. However, when the debt was reaffirmed and payments were made the SOL 'clock' was restarted also. Anytime a payment is made, regardless of the amount, the SOL will begin from the date the last payment is made.
Declaring bankruptcy does not allow you to go out and spend money without having to pay it back. Yes, the debt is not covered by the Chapter 13 filing, so they can do what they can to collect the new debt.
You should not have paid any unsecured debt after the chapter 7 was filed. All unsecured debts were discharged. If you made the mistake of continuing regular payments on an unsecured debt after filing, you may have reinstated the debt. If in doubt, consult a local bankruptcy lawyer.
No. It is exempt from judgements.
Real property such as a vehicle or house is not dischargeable in bankruptcy. The debt must be reaffirmed, paid or satisfied or the property forfeited to the lender. That being the case, the person would not be entitled to a clear vehicle or land title from the lender simply because the debt was included in bankruptcy.
Sure. But his would seem to be a very minor amount to do so for. And if you have more than that amount in non-exempt assets, then those assets will be used to pay that debt. (Bankruptcy effects all you debts and you assets, you do not pick and chose which ones are included).
Debts which are retained in a Chapter 7 case are normally retained in one of two ways: (1) the debtor simply keeps paying the debt, keeps the collateral (such as a house or a car) and the creditor keeps accepting the money without any additional documents being signed by the debtor or creditor, or (2) the debtor formally "reaffirms" the debt by signing a "reaffirmation agreement," also signed by the creditor, which is filed with the Court. A reaffirmation agreement puts the debtor back on the hook for the debt since it waives the debtor's discharge on the debt. Debts which are reaffirmed during a Chapter 7 case can be "rescinded" (i.e. canceled) by the debtor providing notice to the creditor that they are rescinding the reaffirmation agreement PRIOR TO to the Discharge date or within 60 days after the reaffirmation agreement is filed with the Court, whichever is later. It is best to ensure that the notice to the creditor is in writing, and is preferably sent to the creditor by certified mail, return receipt requested, so the debtor can prove that the creditor received notice of the cancelation prior to the deadline. If one keeps a house or other debt in bankruptcy and then decides they don't want it, if the debt was not reaffirmed then the person can probably give the collateral back to the bank and walk away (see your lawyer). If one formally reaffirmed the debt, then one can normally rescind the agreement if the Discharge has not yet been granted or if it has not been 60 days from when the reaffirmation agreement was filed with the Court (again, see your lawyer). But, if the debt was formally reaffirmed and the deadline to rescind has expired, then the debtor will no longer be protected by the bankruptcy and will therefore probably still be liable on the debt (see your lawyer). Please note that nothing in this posting or in any other posting constitutes legal advice; this is simply my understanding of the facts, which I do not warrant, and I am not suggesting any course of action or inaction to any person.
Account reaffirmed means that a creditor or collection agency has violated the FCRA by manipulating the dates of your debt to effect your credit more negatively. For example you may have a debt that is 6 years old, but a collection agency will attempt to make it look like you just got into more debt recently by changing the open date or past due date to something more recent.
Bankruptcy covers all you property and all your debt. Some places allow 1 car as exempt from the sale of property, but not all. You need to check your local rules and ask it be exempt at your bankruptcy hearing.
Chapter 13 bankruptcy is a type of bankruptcy that reorganizes your debt into monthly payments and essentially places the debtor on a strict budget. An individual's debts are not discharged under Chapter 13 bankruptcy, but rather, the individual may lower his debt payments to affordable levels. He will then have a certain period of time to pay off his debt. The plan for getting out of debt is formalized and approved by the bankruptcy court. Some unsecured debt (debt that is not collateralized) may be discharged. However, if you owe more than $250,000 in unsecured debt and more than $750,000 in secured debt, you cannot reorganize under Chapter 13; you must do so under Chapter 11. To file for Chapter 13, you must have regular income and debts under those levels.
A charge-off is a tax-related matter and has nothing to do with bankruptcy. The debt is still owed.