Should I re-open my case?

[saucey]

Hey guys! Considering opening my case back up to reaffirm my first mortgage. What do you guys think? Are there more pros or cons?

[Naive-n-Texas]

What is the problem with your first mortgage? Not that I know what's going on with all this bk stuff, but there are some interesting links to help.

[saucey]

I guess if I were to reopen my case I might as well reaffirm both first and second mortgages. My lawyer didnt get the papers in on time so I was not able to reaffirm.The more I have been reading on the board about not reaffirming is making me kind of nervous though.

[bige1030]

What state do you live in? "Ride-through" really depends on state law. Even though the Bankruptcy Code doesn't recognize ride-through, the only consequence of not reaffirming is that the creditor is allowed to pursue their available remedies in nonbankruptcy law.

[saucey]

What state do you live in? "Ride-through" really depends on state law. Even though the Bankruptcy Code doesn't recognize ride-through, the only consequence of not reaffirming is that the creditor is allowed to pursue their available remedies in nonbankruptcy law.

I am in New York

[NowOrNever]

We didn't reaffirm our mortgage. We never heard a word from the mortgage folks. We did reaffirm our auto loan. We haven't had any problems with either. Our attorney initially said he didn't recommend any reaffirmations, but our car loan folks were really pushing it, so we did.

The only problem we had was that because our disposable was so low, the car loan folks said it would cause undue hardship and we had to go for a hearing before the judge. We had a letter from a relative stating they would insure the payment was made and he approved the reaffirmation.

[9877donna]

Hey guys! Considering opening my case back up to reaffirm my first mortgage. What do you guys think? Are there more pros or cons?

saucey,I would think if the mortgage company has not pushed for a reaffirmation up to this point then as long as your keeping your payments up to date it should be OK without reaffirming.
Donna

[Naive-n-Texas]

Is there a quick reference or glossary/index for the wording that is used in BK?
Like, disposable income
reaffirmation, etc..........

[HHM]

I think you will be ok if you leave things as is. No need to reopen the case to just reaffirm. I know I have some fairly gloom and doom posts about not reaffirming, but the impact of not reaffirming has not been fully litigated. I imagine in the next couple years we will know better what the impact will be, especially when the real estate market, as a whole, begins to pick up.

I fear that, when the market turns around and homes begin to appreciate beyond what is owed, some of the more unscrupulous mortgage lenders, especially those holding 2nd mortgages, will buyout 1st mortgage that have not been reaffirmed, initiate foreclosure based solely on the fact that the debtor did not reaffirm. They will buy the house at auction and then try to sell the house on the open market to make a profit.

However, I think state courts (where this will be litigated) will have a hard time accepting the mere act of non-reaffirmation as a sufficient event of default to allow a mortgage note holder to foreclose, especially if the debtor is otherwise current on their payments. But there is a risk.

[lrprn]

Is there a quick reference or glossary/index for the wording that is used in BK?
Like, disposable income
reaffirmation, etc..........

Here you go, NIT - http://www.filing-bankruptcy-form.co...tcy-terms.html

Enjoy having many of the definitions at your fingertips!

[Naive-n-Texas]

Bless You. Bless you all!

[CindyLou]

I would sooooo totally NOT even touch a closed case. Just my opinion. what a relief to be discharged and closed.