Glossary

Contingent claim - a claim that may be owed by the Debtor under certain circumstances. Typically, Debtor may not owe the debt unless some event occurs.

Consumer Debt - this is debt incurred by individuals for the purpose of personal, household or family reasons. If the majority of a person's debt is non-consumer debt, he may not be required to submit a means test to qualify in Chapter 7 bankruptcy.

Collateral - property, such as a house, or motor vehicle, that is pledged to secure a debt.

Co-debtor stay - bankruptcy may stop action against a co-debtor in certain circumstances. In a Chapter 13, for example, as long as the Chapter 13 Plan fully provides for the debt, the creditor may not collect from the co-debtor on a consumer debt. For a creditor to proceed against a co-debtor on a consumer debt [...]

Claim - this is the process by which a creditor submits the amount it asserts the debtor owes.

Claim Bar Date - creditors have a deadline for filing a claim if they want to be paid in a case. There are different deadlines for regular versus governmental creditors. If a creditor wants to be paid, they must file a claim by that date or their claim may be disallowed. In certain circumstances, [...]

Charged off - this is an adjustment on the balance sheet of a creditor. It does not mean the debt cannot be collected.