Report of no distribution came through // Need to decide on reaffirmations

[DebtorDan]

Well, our report of no distribution came through today! I can breathe easier now, and truly know its just a waiting game from this point on.

Now we just need to decide whether to sign reaffirmation agreements on our car, our house, and our second mortgage. At this point, our 2d mortgage is the only one that's sent papers.

I guess, I'll need to ask our sorry excuse of an attorney his advice. He just sent the papers along, with a sign these if you want to sticky on them.

This forum has been so valuable through all of this. This somehow just isn't the kind of stuff you go about town talking to others about. It's nice to have an understanding and knowledgeable group out there.

[Dollar Bill]

Well...my wife and I are in the same boat.

We decided that we will do a ride through on the car. We are about 1500-2000 upside down. Nice car. Payments are $499. If we decide to buy a nice used vehicle later just in case things got a bit tight we'd have the option of calling and asking them to pick it up.

The house is another story. We live in CA. Just had our house appraised before filing. Bought for $607k 30k down Appraised for $515. We bought it five months go. Hmmmmm. I'd love to ride through on it also, but I'm not sure if the bank will allow us.

[DebtorDan]

Another thing I've wondered about is reaffirming the second mortgage if the first doesn't send along reaffirmation papers for the first mortgage (different banks by the way). Does it matter to do one and not the other?

[TroubleinCalif]

Here is what im wondering about the car issue. If you dont reaffirm and do a "Ride Thru" the car company will probably not show on your CR's that you are still making payments from what has been said here before? So for all intensive purposes if they dont, your credit will show all debt gone even the car so its like you pay it but its not reported. Your debt ratio is "0" on your Credit reports right? or will it say included in BK but paying on it or something to that affect?

[FreshLikeADaisy]

DebtorDan, that was the first thing to spring to my mind as well: why bother reaffirming the second mortgage at all? The different bank thing is important; if it was the same bank they could conceivably foreclose for a default on the second loan, but with two different banks you're pretty much safe from that.

I have no idea on the car questions, but I'd sure like to hear someone with better info pipe up on reaffirming the second mortgage... Good luck!!!