If at the time you file a Chapter 7 bankruptcy, you owe a creditor who has a lien on property such as a car, boat or furniture, and if you wish to keep the property, it will be necessary for you to enter into a reaffirmation agreement with that creditor. Reaffirmations are voluntary, legally binding agreements between the debtor and a secured creditor for repayment of a loan which is secured by collateral. For example, a debtor may wish to reaffirm a car loan and continue to make payments on the loan and keep the car, even though he has filed bankruptcy. When cars are involved, the monthly reaffirmation payment is usually the same as your payment before the bankruptcy. On other secured loans, such as furniture, a monthly payment may be negotiated to a lower amount with the creditor.

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