Adversary Proceeding – Any separate lawsuit that occurs and is filed within the bankruptcy case

Arrears – Unpaid or overdue debt

Complaint (Adversary Complaint) – Petition filed with the bankruptcy court in order bring a lawsuit for any type of violation within the bankruptcy

Confirmation – Official approval of a payment plan by the bankruptcy courts in a Chapter 13 bankruptcy

Confirmation Hearing – Court hearing in which the judge determines whether or not the Chapter 13 payment plan proposed is officially approved

Cram-Down – A change in the terms of a secure loan so that the balance is equal to the value of the property

Default – Failure to pay back a debt

Default Judgment – A lawsuit against you whenever you fail to respond to a legal complaint

Dismissal – The rejection of your bankruptcy case from the bankruptcy court

Dismissal with Prejudice – The rejection of your bankruptcy case from the bankruptcy courts which prevents you from filing bankruptcy again

Docket – A calender for the list of cases at the bankruptcy court

Equity – The value of the property minus the amount of money owed on the property

Insolvency – The inability to pay back your debts

Lien – The right to the property belonging to another person until a debt is paid such as car loans and mortgages

Mailing Matrix (List of Creditors) – A list of all your creditors and their mailing addresses

No-Asset Case- A special type of Chapter 7 bankruptcy where you do no have any assets to sell off or liquidate to pay unsecured debts

Petition Preparer- People and businesses that practice law illegally by preparing bankruptcy petitions

Preference (Preferential Debt Payment)- A debt payment made to a creditor in the 90 days prior to filing a bankruptcy petition

Priority – The ranking of importance of unsecured debts by the bankruptcy courts

Priority Debt – Unsecured debt that will be paid before paying other unsecured debts

Reaffirmation (Reaffirmation Agreement) – An agreement made between you and a creditor to repay some or all of your debt after the bankruptcy process

Section 362 Proceeding (Motion to Lift Automatic Stay) – A formal request by a creditor to take actions normally prevented by the automatic stay

Surrender – To give back a property that you owe to your creditor

If you have questions about any bankruptcy terms you want defined, feel free to give us a call at 214.748.4848. Otherwise, just call us at 214.748.4848 to schedule an appointment to come in for a FREE consultation.