Chapter 7

Chapter 13
Bankruptcy Petition This document begins the bankruptcy.  The filing date is the key date to note.  Every debt incurred after the filing date is called a post petition. Same
What the BK will accomplish A general discharge from all debts A reorganization of debts in an attempt to repay as much as possible.
Reaffirmation agreement – preserves a debt after discharge.  If the consumer wants to keep an asset, then she must also keep the liability. Reorganization plan – Debtor creates a plan to repay as much and many of his debts.  If the plan is accepted by the court, it becomes a new contract between the consumer and each of his creditors.
Types of violations to look for:
  • Reporting a balance due or a payment due that was discharged in BK.
  • Reporting a trade line as included in BK that was reaffirmed.
  • Failing to report post BK payments on a reaffirmed debt.
  • Reporting a $0 balance on a reaffirmed debt.

 
  • Failing to report a trade line as included or as discharged in BK
  • Non filing spouse reported as having filed BK –Reporting the old unadjusted balance or payment on a crammed down debt in Chapter 13.
  • Reporting the old unadjusted balance or payment on a crammed down debt in Chapter 13.