What does retain mean bankruptcy?
What does retain mean bankruptcy?
Retain and Reaffirm
Retain and Redeem – you agree to pay off the debt up to the value of the property during the bankruptcy case. Retain and Reaffirm means – you will keep making payments and keep owing the debt because you want to keep the property.
How long should you retain bankruptcy paperwork?
There’s no legal mandate requiring you to keep your bankruptcy paperwork after your debts are discharged. Bankruptcy lawyers say, however, that for practical reasons you should keep your bankruptcy petition and discharge papers forever.
What debt stays after bankruptcy?
Eliminate child support and alimony obligations. Child support and alimony obligations survive bankruptcy, so you’ll continue to owe these debts in full, just as if you had never filed for bankruptcy. And if you use Chapter 13, you’ll have to pay these debts in full through your plan.
What does it mean to redeem collateral?
Redemption means that a secured debt on some secured collateral (e.g., car, boat, trailer, furniture, etc) can be paid off completely by paying the loan to the fair market value of the collateral, rather than the full loan balance. In the process, the debtor can save literally thousands of dollars.
How long do you keep closing documents?
Home Sale Records
| HOME SALE RECORDS | |
|---|---|
| Document | How Long to Keep It |
| Home sale closing documents, including closing statement | As long as you own the property + 3 years |
| Deed to the house | As long as you own the property |
| Builder’s warranty or service contract for new home | Until the warranty period ends |
How long do you need to save tax returns?
Keep records for 3 years from the date you filed your original return or 2 years from the date you paid the tax, whichever is later, if you file a claim for credit or refund after you file your return. Keep records for 7 years if you file a claim for a loss from worthless securities or bad debt deduction.
What should I do if I plan to file bankruptcy?
Here are additional approaches to consider: Hiring an attorney. If you hire a bankruptcy attorney, and you inform your creditor of that fact, the creditor will have to call your attorney instead of you.
What happens if you threaten to file bankruptcy?
There’s no guarantee that threatening to file bankruptcy will stop annoying creditor calls. The only sure fire way to use bankruptcy to accomplish this is actually to file a case. That’s when an order called the “automatic stay” goes into effect and prohibits your creditors from making any attempt to collect a debt.
What happens to your credit when you file bankruptcy?
Bankruptcy is a powerful debt relief tool, but only if it makes sense for your financial situation. Filing any type of bankruptcy provides immediate debt relief through the automatic stay. That’s the law that prohibits creditors from contacting you as soon as your bankruptcy case has been filed. It also stops a wage garnishment right away.
What are the benefits of filing for bankruptcy?
Bankruptcy is a powerful debt relief tool, but only if it makes sense for your financial situation. Filing any type of bankruptcy provides immediate debt relief through the automatic stay. That’s the law that prohibits creditors from contacting you as soon as your bankruptcy case has been filed.
What should you not do before filing bankruptcy?
DO NOT finance a new vehicle just before filing your case. If you do finance a car, it can mean a delay in filing your case. Speak with your attorney prior to doing this. DO NOT use your credit cards or acquire new debt. Unplanned medical debt may be an exception, as you may not have a choice about incurring the debt.
What happens when you file a Chapter 7 bankruptcy?
Chapter 7 bankruptcy is a very effective tool for erasing credit card debt, medical debts, and most other unsecured debt. Although Chapter 7 is a liquidation bankruptcy, filers are able to keep all their property in more than 90% of all consumer bankruptcy cases in the United States.
What do you need to know about filing for bankruptcy?
When you file for bankruptcy, you must fill out and file a large packet of forms. On one of those forms, Schedule B, you are required to list all of your personal property, and this includes cash and money in bank accounts. List everything here, even if you think it might qualify for an exemption.
Do You Keep your property if you file bankruptcy?
By contrast, you keep all of your property—both exempt and nonexempt—if you file for Chapter 13 bankruptcy. Of course, nothing in life is free.