Items purchased with "in-store" unsecured charge accounts.

[soalsrfr]

Would I have to worry about losing furniture/appliances that I purchased with instore "unsecured" line of credit if I included the debt in a Ch. 7 bk?

[jerzey]

Depends on the value, if they are worth alot maybe

[momof5]

I would love to know the answer to this as well. I am thinking it might vary though from store to store/item to item. We purchased furniture last October... buy now pay nothing till October 2008. So we are in limbo as to what is going to happen. They are listed as an unsecured creditor.
Just another thing to have to 'wait and see' about.

[lrprn]

The chances of losing used furniture back to the original creditor or a collection agency is about the same as a meteor hitting your house today - possible, yes - probable, no.

Most lawyers will advise you to go with the probabilities and not reaffirm these loans, no matter what the creditor threatens. Invite the creditor to come pick up their stuff - they won't. What are they going to do with used furniture that started depreciating the instant it left the store and now has your human and environmental "debris" all over it?

Unless you bought valuable antiques that do have some resale value or a flat-screen big HDTV within the last six months, you're 99% safe.

[Stilltheone]

We purchased furniture in January...and yes, we filed in March.

Here's our experience with the furniture:

The first thing we purchased was a clearanced mattress. For this, we used our store card, financed through GE Money Bank. The total for that was $900.

The second thing we purchased was a dresser, nighstand, and sofa table. This was an actual loan financed through American General. Totaling $1100, originally.

When we filed, our attorney listed both accounts as we wanted to reaffirm. The first, she listed we wanted to reaffirm at $300, the second at $750.

So far, we haven't heard from the first account and highly doubt we ever will. If we do, we aren't going to reaffirm. They are more than welcome to come get their sagging mattress.

For the second account, we actually got a reaffirmation agreement from American General's attorney, totalling almost $1000. We got that about 2 1/2 weeks ago and refuse to sign it. First, it was to reaffirm more than what it's worth. Second, we highly doubt they'll come get their furniture.

I read on a website that to actually go through the process to repossess furniture can cost $1000.

Good luck!

[deafbroke]

The chances of losing used furniture back to the original creditor or a collection agency is about the same as a meteor hitting your house today - possible, yes - probable, no.

Most lawyers will advise you to go with the probabilities and not reaffirm these loans, no matter what the creditor threatens. Invite the creditor to come pick up their stuff - they won't. What are they going to do with used furniture that started depreciating the instant it left the store and now has your human and environmental "debris" all over it?

Unless you bought valuable antiques that do have some resale value or a flat-screen big HDTV within the last six months, you're 99% safe.

I agree. Long before I filed Bankruptcy a creditor called because we were behind in payments for a washer and dryer we bought at a chain electronics store. They called every day because we were 2 payments behind. We didn't take the calls but then I DID answer and they said either get current with the payments or bring the washer and dryer back. I told them to come and get it. They were stunned. I said we're doing the best we can to try to get caught up and if it's thaty big a deal come get it. They didn't bother us again.

DB

[PaKettle]

Some small furniture companies will object if purchases were made recently and may ask for the furniture back, but it's not that common. If it's a big company, they might object and make you pay back half of what you owe, if it's recent debt, but again, it is not that common.

[marcie26]

We just bought a sectional after not having a couch for 10 years. I plan on paying on it til we file - do we need to wait 6 months?

(sorry for hijacking, but I thought it was applicable to the post

[PaKettle]

We just bought a sectional after not having a couch for 10 years. I plan on paying on it til we file - do we need to wait 6 months?

(sorry for hijacking, but I thought it was applicable to the post

3 months should do it, but the longer you wait the more sure it is they won't be able to object. 6 months would be ideal... It's a risk you have to measure - the most you would probably have to pay is 1/2 but don't quote me on that, I'm not an attorney, I don't even play one on tv.

[marcie26]

3 months should do it, but the longer you wait the more sure it is they won't be able to object. 6 months would be ideal... It's a risk you have to measure - the most you would probably have to pay is 1/2 but don't quote me on that, I'm not an attorney, I don't even play one on tv.

Thanks - I guess I will find out soon. (by the way, I didn't purchase it with a store card, just a regular credit card - not sure if that makes a difference or not)

[keepmine]

If you bought it with a regular store card, it's unsecured debt. You need to wait better than 60 days before you file to rebut any sort of challenge from the cc company.

[morallyBR2]

Where did you buy the stuff? Cause if it is a place like Aaron's or Conn's you can kiss your s**t good bye.

[sisterfunkhaus]

My friend had over $2000 owed to RTG. Her attny told her not to reaffirm, as did mine. They never even called her about the furniture.