Interesting claim on my asset case

[Vandervecken]

Good morning! I was checking the claims on my C-7, and found an "interesting" claim. My divorce requires me to reaffirm my two rental houses, and one of them is significantly upside down (but it cash flows very well.) I have signed the reaffirmation and it's been filed. But last week, the mortgage servicer (Bank of America) filed a claim. They did not file a claim for the other two houses (both of which have equity), just this one.

I suspect this was an "automatic" thing since the house is upside down. But I do have a question: given that I have reaffirmed the mortgage, will the trustee actually pay anything to this mortgage claim?

[justbroke]

There are no "payments" to creditors in a Chapter 7 unless you are in an "asset" Chapter 7 case. Even then and with your reaffirmation there would still be no payment even in an asset case (unless it was foreclosed and they are claiming a deficiency...).

Just chalk it up to "interesting" -- unless you're in an asset case. Then it becomes more interesting.

[Vandervecken]

Yes, I am in an asset case.