Axcel Today Blog

When people file for bankruptcy many of them wish to keep their car that is financed. For them to do this, they need to reaffirm the debt. Reaffirmation is the process and a chapter 7 bankruptcy in which the debtor wishes to keep an item that secures a loan. The debtor agrees to continue to to pay the payments for the item and the creditor lets them keep it. Amazingly there are many items that are secured by the lender when you buy them even though you’re using a credit card. Many times, even though we do not remember giving them a security agreement we did. Often when you apply for a department store credit card you grant them permission to take a security interest in everything you buy with that card.

This entry was posted on Tuesday, February 23rd, 2010 at 2:10 pm and is filed under Business. Both comments and pings are currently closed.