The purpose of this form is to show creditors the dire financial situation that the debtor is in so as to induce the creditors to compromise or write off the debt due.
The Indiana Debtor's Affidavit of Financial Status to Induce Creditor to Compromise or Write off the Debt which is Past Due — Assets and Liabilities is a legal document used by debtors in Indiana who are unable to repay their outstanding debts. This affidavit provides a comprehensive overview of the debtor's current financial situation, including their assets and liabilities, in an effort to convince the creditor to compromise or write off the debt. Key elements covered in the Indiana Debtor's Affidavit of Financial Status include: 1. Personal Information: The debtor's full name, address, contact details, and any other identifying information required by the creditor or court. 2. Debts: A detailed list of all the debts the debtor owes, including the names of the creditors, outstanding balances, account numbers, and any relevant payment terms or agreements. 3. Financial History: An account of the debtor's financial history, including any previous bankruptcies, foreclosures, judgements, or other adverse credit events that may have impacted their ability to repay debts. 4. Income: A thorough breakdown of the debtor's current income sources, such as employment, investments, or any other regular sources of revenue. It should include information regarding employers, income amounts, and frequency of payments. 5. Expenses: A comprehensive list of the debtor's monthly expenses, including rent/mortgage payments, utilities, transportation costs, food expenses, healthcare costs, child support or alimony payments, and any other applicable expenses. 6. Assets: An inventory of the debtor's assets, such as real estate properties, vehicles, bank accounts, retirement accounts, investments, valuable personal possessions, and any other assets that hold monetary value. 7. Liabilities: A complete overview of the debtor's liabilities, which may include outstanding loans, credit card debts, medical bills, tax obligations, and any other financial liabilities. 8. Financial Hardship Explanation: A section dedicated to explaining the debtor's current financial hardship that has made it difficult or impossible to meet their debt obligations. This may include sudden unemployment, medical emergencies, divorce, or other unforeseen circumstances that have resulted in the inability to repay debts as agreed. Types of Indiana Debtor's Affidavit of Financial Status to Induce Creditor to Compromise or Write off the Debt which is Past Due — Assets and Liabilities may include variations based on specific debts or creditors. These could include: 1. Indiana Debtor's Affidavit of Financial Status for Credit Card Debts 2. Indiana Debtor's Affidavit of Financial Status for Medical Debts 3. Indiana Debtor's Affidavit of Financial Status for Student Loan Debts 4. Indiana Debtor's Affidavit of Financial Status for Mortgage Debts 5. Indiana Debtor's Affidavit of Financial Status for Tax Debts It is important to note that while this affidavit provides a comprehensive financial snapshot, it does not guarantee that the creditor will agree to compromise or write off the debt. However, it serves as a persuasive tool to demonstrate the debtor's financial difficulties and request leniency from the creditors. Consulting with a legal professional or bankruptcy attorney is advisable to ensure the correct usage of the affidavit in accordance with Indiana laws and regulations.
