Reaffirmation

Filed Under » , , , ,
Dictionary Says

Definition of 'Reaffirmation'

An agreement made between a debtor and a creditor to repay some or all of a debt. Reaffirmations are made on a purely voluntary basis by the debtor. The bankruptcy code stipulates that the debtor's attorney must file a statement with the court affirming that he or she can repay the debt without incurring further personal financial harm.
Investopedia Says

Investopedia explains 'Reaffirmation'

Reaffirmations cannot legally require the debtor to repay the debt. Lenders have no real leverage from them, and can only rely on the good faith intent of the debtor to repay the debt. This type of arrangement is prohibited under Chapter 13 Wagearner plans.

Sign Up For Term of the Day!

Try Our Stock Simulator!

Test your trading skills!

Related Definitions

  1. Debt

    An amount of ...

  2. Loan

    The act of ...

  3. Lender

    Someone who ...

  4. Bankruptcy

    A legal ...

  5. Finance

    The science that ...

  6. Insolvency

    When an ...

  7. Statutory Debt Limit

    A debt limit ...

  8. Credit Utilization Rate

    An input used in ...

  9. Passbook Loan

    A personal loan ...

  10. Credit Card

    A card issued by ...

Articles Of Interest

  1. Saving Your Home From Foreclosure

    Learn the tactics you can use to prevent your home from being repossessed.

  2. A Lifeline For Those Drowning In Debt

    Don't wait to be saved, find out where the lifesaving devices are and hang on tight!

  3. Changing The Face Of Bankruptcy

    A 2005 law attempts to unmask fraudulent debtors and still save those who are struggling. Will it affect you?

  4. Life After Bankruptcy

    Find out what you have to look forward to after filing for Chapter 7 or 13.

  5. 7 Tips For The Do-It-Yourself Debt Manager

    Hired gun not in your budget? Learn to be your own credit counselor.

  6. Spotting Credit-Repair Scams

    Credit repair scams are common in today's debt-reliant world. Don't be a victim!

  7. The Importance Of Your Credit Rating

    A great starting point for learning what a credit score is, how it is calculated and why it is so important.

  8. Why Bad Credit Is Bad For Financial Careers

    In order to obtain and maintain a career in the financial industry, it is also important to have a clean credit report.

  9. How Credit Cards Affect Your Credit Rating

    The average American household has four cards, but does that mean more is better?

  10. Get To Know Your Consumer Financial Protection Bureau

    The CFPB is there to protect you and hear your voice. You can help with the economic recovery by getting to know the bureau.
Sponsored links

comments powered by Disqus
Hot Definitions

  1. Love Money

  2. Shark Watcher

  3. Judo Business Strategy

  4. Dogs Of The Dow

  5. Chinese Hedge

  6. X-Mark Signature

Recommended
Loading, please wait...
See More »
Trading Center