Personal property: Property that is not real to real property, such as automobiles, tools, stock, furniture, etc.

Petition: The paperwork that is filed to initiate a bankruptcy case, seek an order for relief, and activates the automatic stay.

Pre-petition: Debts and claims that are in place before filing bankruptcy. Filing bankruptcy usually discharges pre-petition debt, not post-petition debts.

Priority: The Bankruptcy Code establishes the order in which claims are paid from the bankruptcy estate. All claims in a higher priority must be paid in full before claims with a lower priority receive any payment. Claims are paid in this order: 1) costs of administration 2) priority claims and 3) general unsecured claims. Secured claims are paid from the proceeds of liquidating the collateral which secured the claim.

Priority claims: Claims, such as such as unpaid wages, spousal or child support, and taxes, that must be paid in full before general unsecured claims are paid.

Proof of claim: The form filed with the court establishing the creditor's claim against the debtor.

Property of the estate: The property that is not exempt and belongs to the bankruptcy estate. Property of the estate is usually liquidated by the trustee and the claims of creditors paid from the proceeds.