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Thursday 26 Nov 2015

Bankruptcy Terms

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Term Definition

The debtor must file the required lists of assets and liabilities to commence a bankruptcy case, collectively called the schedules.

Secured Debt

A secured debt is one where the creditor takes personal or real property as collateral. A creditor whose debt is secured has a right to take property to satisfy a debt in default. For example, most homes are burdened by a secured debt in the form of a mortgage. This means that the lender has the right to take the home if the borrower fails to make payments on the loan.

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