If a debtor defaults on a mortgage loan on a parcel of real property, the creditor, often a bank or mortgage company, must commence a legal proceeding against the debtor called a
A) Judicial sale
B) Repossession
C) Foreclosure
D) Deed in lieu
Q. 2According to 11 U.S.C. 501, to be paid by the trustee in either a liquidation or reorganization bankruptcy, a creditor must file an Official Form B10 ________ form with the bankruptcy court where the case is pending.
A) Proof of purchase
B) Proof of Claim
C) Proof of redemption
D) Proof of offer
Q. 3If the Automatic Stay is in effect, the creditor is required to file ________ with the court to lift it.
A) A motion
B) An executory contract
C) A reaffirmation agreement
D) Grievance
Q. 4The trustee may deem it proper to ________ a contract if he or she determines it is in the best interests of the debtor to do so.
A) Ignore
B) Acknowledge
C) Reject
D) Rescind
Q. 5The foreclosure process can take anywhere from
A) Six to eight months
B) Two to seven months
C) Three to six months
D) Nine to twelve months
Q. 6Under some very specific circumstances, a creditor may be able to convince the court that it should be allowed to continue with its ________ against the debtor.
A) Debt collection efforts
B) Negotiations
C) Contract
D) None of these
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