Monday, March 18, 2013

APPROVAL OF REAFFIRMATION AGREEMENT

When a Reaffirmation Agreement is executed between a debtor and a creditor, it will generally be enforced unless the court disapproves the agreement.  If the debtor enters into a reaffirmation agreement without an attorney, or if an presumption of hardship exists because the debtor's monthly expenses are greater than his/her monthly income, a reaffirmation hearing will be held so the court can review the agreement.  If the debtor can demonstrate the the reaffirmation agreement is in the debtor's best interest, it will be enforced.  However, the court also has the power to disapprove of the agreement which would render it null and void. 

http://www.westmontattorneys.com/Bankruptcy/

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