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When a debtor enters bankruptcy a secured creator retains priority to the secured assets unless it files a proof of claim for the full amount owed?
Wiki User
∙ 10y ago
Actually, a secured creditor only retains priority if they file a claim.
Wiki User
∙ 10y ago
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What are creditors holding secured claims?
If you signed a Security Agreement, then your creditor has a secured claim on the collateral specified in the agreement.
What is the top priority when distributing assets from someone declaring bankruptcy?
Secured creditors to the extent of their security on specific property (e.g., mortgage interest on real property)
When a proof of claim form is a credit of money on an account is it a secured claim a unsecured priority claim or a unsecured non priority claim in a bankruptcy?
Presumably your talking about a credit in a general trade or deposit type account, (not a payroll matter, rent deposit or something on the priority list), it is simply an unsecured non-priority claim.
Does a senior debt have priority over a secured debt?
Secured debt has priority over other debdtors to the secured property. If that does not saisfy the claim, then te remainder may be filed as a general claim, taking position below senior debt.
What happens when a creditor doesn't file a proof of claim in a bankruptcy case?
If it is not a secured debt it will be included in the bankruptcy discharge.
What is the difference between unsecured priority and unsecured non-priority?
Examples of unsecured priority debts are, child and/or spousal support, delinquent taxes, rent and utility arrears, any fines or restitution(s) that have been ordered by the court. Unsecured non-priority are, store cards, unsecured personal loans (unless held by a bank where the person has accounts), credit cards, and so forth.
What is the bankers' lien?
The mortgage holder's lien which is considered a secured, priority claim.
Is a car secured property in bankruptcy?
If there is a loan which used the car as collateral, yes.
Do a company have to pay for hours worked if they file bankruptcy?
Yes... sort of. The employees are considered creditors of the company, so getting them paid is part of the bankruptcy proceedings. The bankruptcy court will determine which debts get paid and at what percentage. The basic rules are that secured debts (mortgages, for example) get paid first, but back wages are in the second tier of priority, and each employee gets a priority amount of around $10000 (the amount changes periodically; I'm not sure what the current amount is). If they're owed more than the priority amount, then the excess gets put further back in line, and may be paid at a lower rate (or not at all).
If credit card puts lien on house and i file bankruptcy can i still file the credit card in the bankruptcy?
You have to, it is a debt...it is just a secured debt...by the lien on the property.
What is an unsecured loan used for?
The difference between an unsecured loan and a secured loan is very big if for some reason bankruptcy is declared or the loan cannot pay repaid. Secured means that the buyer still needs to repay and unsecured mean he doesn't if bankruptcy is declared.
Do you have to get full auto coverage if you file bankruptcy?
If you're auto payment is included in your bankruptcy, then yes, they will require you to keep full coverage as long as there is a secured balance on the vehicle.
