reaffirmation agreement

reaffirmation agreement definition - business

reaffirmation agreement

Agreement by a debtor who has declared bankruptcy to continue paying on a debt, generally in order to hold possession of an asset that would be subject to repossession. For example, a person who has declared Chapter 7 bankruptcy signs a reaffirmation agreement on a vehicle loan in order to maintain possession of the vehicle.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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