A
reaffirmation agreement is an agreement by which a bankruptcy debtor
becomes legally obligated to pay all or a portion of an otherwise
dischargeable debt. Such an agreement must generally be filed within
sixty (60) days after the first date set for the meeting of creditors.
An
original and executed reaffirmation agreement filed with the Clerk no
later than 30 days following entry of the discharge order is enforceable
without hearing or court order, if the agreement is accompanied by a
declaration or an affidavit of the debtor's attorney. The reaffirmation
agreement must be filed on form 240. If a reaffirmation agreement is
filed without an attorney's declaration or affidavit, or creates a
presumption of undue hardship, a hearing is required. You must appear in
person at the hearing. The judge will ask you questions to determine
whether the reaffirmation agreement imposes an undue burden on you or
your dependents and whether it is in your best interests. Reaffirmed
debts are not dischargeable.
Reaffirmation
agreements are strictly voluntary. They are not required by the
Bankruptcy Code or other state or federal law. You can voluntarily repay
any debt instead of signing a reaffirmation agreement, but there may be
valid reasons for wanting to reaffirm a particular debt.
Since a reaffirmation agreement takes away some of the effectiveness of your discharge, legal counsel is advisable before agreeing to a reaffirmation.