Does filing stop late fees and other charges from being added to my arrears?

Not necessarily. The automatic stay generally restricts collection activity, but filing by itself does not determine whether interest, late charges, escrow advances, or other fees continue to accrue or may be included in the claim. For a proposed cure, 11 U.S.C. § 1322(e) makes the underlying agreement and applicable nonbankruptcy law controlling. One district provides that on plan confirmation a prepetition mortgage arrearage provided for in the plan is deemed current, precluding the mortgagee from charging late payments or other default-related fees (D.N.M. LBR 3015-4).

Is "arrears" the same thing as "arrearage"?

In practice, yes. Bankruptcy forms, local rules and plans usually use "arrearage" or "prepetition arrearage" for the past-due amount on a particular claim, and courts define the term locally — for example, the total amount past due on a real property creditor's claim as of the petition date (E.D.N.C. LBR 3070-2). "Arrears" is the everyday plural. Read the document you received; the label matters less than which amounts it covers.

Who decides the final arrears number?

The creditor states its asserted arrearage in the proof of claim, and that filing starts the process rather than ending it. A claim is deemed allowed unless a party in interest objects; if an objection is made, the court determines the amount after notice and a hearing (11 U.S.C. § 502). The debtor may identify a different figure in the schedules or plan. Disagreements over the figure are resolved through claim objections.

Glossary

Arrears: What the Word Means in a Bankruptcy Case

Arrears are payments or amounts that became due under an agreement, court order, or applicable law and were not paid. In bankruptcy they are generally a component of a creditor's claim that may receive distinct treatment under a plan. Chapter 13 plans may provide for curing a default (11 U.S.C. § 1322(b)(3)). The prepetition arrearage is measured as of the petition date.

Key points

Arrears are amounts that came due under a contract, a court order, or applicable law and were not paid, so past-due taxes and support can be arrears too.
In a Chapter 13 case, arrears are generally part of a creditor's claim and may be treated distinctly in the plan rather than as a claim of their own.
11 U.S.C. § 1322(b)(5) permits curing a default and maintaining payments on a claim on which the last payment is due after the date the final payment under the plan is due.
The prepetition arrearage is measured as of the petition date and remains subject to claim allowance and to objection under 11 U.S.C. § 502.
Curing an arrearage does not by itself eliminate the lien securing the debt.

You have probably met this word on a mortgage statement, in a notice from a servicer, or in a court filing, and it rarely arrives with an explanation. It is an accounting term before it is a legal one, and in a bankruptcy case it does specific work. Here is what it means and where it shows up.

What does "arrears" mean?

Arrears are payments or amounts that became due under an agreement, court order, or applicable law and were not paid. The word describes the shortfall itself, not the whole debt. If a mortgage requires a monthly payment and four of them were missed, the arrears are those four payments plus whatever the agreement and applicable law add to them; the rest of the loan balance is a separate amount.

Because the definition reaches beyond contracts, arrears is not only a mortgage word. Past-due income taxes and past-due domestic support obligations are arrears in the same sense: an amount that law or a court order required, on a date that has passed.

Bankruptcy paperwork usually says "arrearage" rather than "arrears", and local Chapter 13 practice draws finer lines. One district defines "Pre-Petition Arrearage" as the total amount past due on a real property creditor's claim as of the petition date (E.D.N.C. LBR 3070-2).

Why do arrears matter in a bankruptcy case?

Two reasons. First, arrears are usually why a creditor is about to act — foreclose, repossess, garnish. Filing a bankruptcy petition generally triggers the automatic stay under 11 U.S.C. § 362, which commonly halts collection activity while the case proceeds; § 362(b) excepts a list of acts, so "generally" is doing real work in that sentence.

Second, the arrears figure shapes a Chapter 13 plan. Chapter 13 permits a plan to provide for curing or waiving any default (11 U.S.C. § 1322(b)(3)), and § 1322(b)(5) permits curing a default within a reasonable time and maintaining payments while the case is pending on a claim on which the last payment is due after the date on which the final payment under the plan is due. That condition is what makes a long-term mortgage curable over the life of a plan.

Those are Chapter 13 provisions; Chapter 12 carries parallel language in 11 U.S.C. § 1222(b)(5), and Chapter 7 is a liquidation chapter, not a repayment-plan chapter.

How are arrears handled in practice?

The number comes from the creditor first. The creditor states its asserted arrearage in the proof of claim. The debtor may identify a different figure in the schedules or plan, and a party in interest may object to the claim (11 U.S.C. § 502(a)). Some districts provide that the amounts listed on a timely filed proof of claim control over contrary amounts in the plan, while preserving the right to object (Bankr. E.D. Ky. official guidance — Chapter 13 Form Plan Practice Aid).

The prepetition arrearage is measured as of the petition date. Measured is not the same as conclusively established: the amount remains subject to claim allowance and to dispute.

Where the claim is secured by a security interest in the debtor's principal residence and the plan provides for payment on it, the claim holder must file notice of any change in the payment amount (Fed. R. Bankr. P. 3002.1). Local practice differs by district — find the court for your county.

What do people get wrong about arrears?

Three things. First, curing an arrearage does not by itself eliminate the lien. A long-term mortgage cured and maintained under 11 U.S.C. § 1322(b)(5) generally remains enforceable under its ongoing terms; other secured claims, including vehicle claims, may receive different treatment under 11 U.S.C. §§ 1322(b)(2) and 1325(a)(5). The arrearage and the remaining balance are different amounts, and the treatment of each depends on the claim, the plan, and applicable law.

Second, arrears are not a separate claim. They are generally a component of a creditor's claim that a plan may address distinctly.

Third, support arrears are not automatically paid in full. 11 U.S.C. § 1322(a)(2) requires full payment of claims entitled to priority under § 507, but § 1322(a)(4) permits a plan to provide for less than full payment of a claim entitled to priority under § 507(a)(1)(B) if the plan provides that all of the debtor's projected disposable income for a 5-year period will be applied to make payments under the plan.

Frequently asked questions

Does filing stop late fees and other charges from being added to my arrears?: Not necessarily. The automatic stay generally restricts collection activity, but filing by itself does not determine whether interest, late charges, escrow advances, or other fees continue to accrue or may be included in the claim. For a proposed cure, 11 U.S.C. § 1322(e) makes the underlying agreement and applicable nonbankruptcy law controlling. One district provides that on plan confirmation a prepetition mortgage arrearage provided for in the plan is deemed current, precluding the mortgagee from charging late payments or other default-related fees (D.N.M. LBR 3015-4).
Is "arrears" the same thing as "arrearage"?: In practice, yes. Bankruptcy forms, local rules and plans usually use "arrearage" or "prepetition arrearage" for the past-due amount on a particular claim, and courts define the term locally — for example, the total amount past due on a real property creditor's claim as of the petition date (E.D.N.C. LBR 3070-2). "Arrears" is the everyday plural. Read the document you received; the label matters less than which amounts it covers.
Who decides the final arrears number?: The creditor states its asserted arrearage in the proof of claim, and that filing starts the process rather than ending it. A claim is deemed allowed unless a party in interest objects; if an objection is made, the court determines the amount after notice and a hearing (11 U.S.C. § 502). The debtor may identify a different figure in the schedules or plan. Disagreements over the figure are resolved through claim objections.

Sources

By Antonio G. Jimenez, Esq. · Florida Bar No. 21022

Last reviewed July 29, 2026 · Sources verified July 29, 2026 · How we verify

Every figure on this page is drawn from a primary legal source and checked against our canonical legal database before publication. Bankruptcy.law is not a law firm and does not provide legal advice.