Explanation of Official Form 240A/B ALT Reaffirmation Agreement

  • As explained in the new instructions, Director's Form B240A remains optional, and it cannot be used with a separate, attached reaffirmation agreement because some of the required disclosures are contained in the Reaffirmation Agreement portion of the form, rather than in the Disclosure Statement portion of the form. Because § 524(k)(3)(J)(i) of the Bankruptcy Code provides that a separate reaffirmation agreement may be used only if the proper disclosures have been made, the January 2007 versions of B240A and B240B (which include separate reaffirmation agreement and disclosure provisions) will not be removed from the public website as originally contemplated. Instead, they will remain in effect as alternative versions that may be used to provide the required disclosures by parties who want to use a separate attached reaffirmation agreement. The January 2007 version of B240A will be re-labeled B240A/B ALT effective April 1, 2010, and the January 2007 version of B240B will be re-labeled B240C ALT effective April 1, 2010.