How negative was your Sch J?

[albacore44]

If you are to negative in your Sched J then the court can decide a particular vehicle or home even is an undue hardship and thus not allow a reaffirmation of said property.

In many states though you can do what are called ride throughs. So long as you make the payments on time you can keep the vehicle or home in these states even without a reaffirmation.

Now some companies are really sticklers, Ford for instance if your state law doesn't allow ride throughs and you don't sign a reaffirmation agreement will reclaim the vehicle usually 9 out of 10 times.

Other companies don't do reaffirmations and so long as you continue to pay them they let you keep it. (I think some have mentioned Countrywide recently has adopted this policy).

I believe california allows ride throughs.

So based on what you state, if your secured creditors (cars, Mort, etc) do not request Re-affirmation, the court will not intervene, say you look too negative, and require you surrender some or all of the secured property ??

[hopeforus]

What do you have to do if you can do a ride thru? Nothing? Just keep paying? I'd be so scared they will come get my car. I'm all nervous anyway.

We will be filing in Ohio. Will search to see if they allow this. Do you say somewhere on your papers that you are doing this?

[hopeforus]

[JRScott]

I believe california allows ride throughs.

So based on what you state, if your secured creditors (cars, Mort, etc) do not request Re-affirmation, the court will not intervene, say you look too negative, and require you surrender some or all of the secured property ??

If the court refused a reaffirmation due to hardship and your state doesn't allow ride throughs then the creditor could come and take the property back even if you had exempted some equity in it. However you would receive a discharge of that debt like normal.

[JRScott]

Yeah just work on your sheet and play with the numbers some and make sure it doesn't look to negative , seems you think you can do it and it'll save ya.

[jessegirl]

were are -313.00.

[hopeforus]

Well only because the numbers on the sheet just seem so high. No way do we spend 1894 on food and clothing etc. Not even with diapers and stuff in there. They have the car part almost 150 more than our payment. We can totally lower that food category and that will mostly get us there. Do they argue with you about your number being too low? I mean, what if you are just a super duper couponer? :lol:

[albacore44]

If the court refused a reaffirmation due to hardship and your state doesn't allow ride throughs then the creditor could come and take the property back even if you had exempted some equity in it. However you would receive a discharge of that debt like normal.

ok, so what exactly does this mean " If the court refused a reaffirmation due to hardship"

I plan to keep paying on both my cars, and 1st and 2nd mort. I have negative equity in all do to the housing market and auto depreciation.

I was planning on using the Ca. $20K wild card to exemption to cover a paid in full RV, and discharge my CC debt. If the court can order me to turn over my house or cars even though im current on the loans, we that puts a negative twist into things.

Has anyone here had that happern ??

[hopeforus]

It means that after listing all your expenses if you come out too much in the negative then they will assume you can't pay it.

[albacore44]

It means that after listing all your expenses if you come out too much in the negative then they will assume you can't pay it.

Alright, makes total sense. be nice if there was a guideline somewhere that showed how much negative would trigger the trustee to act.

[mmenz22779]

it looks like we will be +100

[BROKENN]

I was -1500 and I still have my car and they are taking payments. No reaffirm paper yet which I do not want to get or sign. But my paperwork said reaffirm and nobody blinked.

[JRScott]

Alright, makes total sense. be nice if there was a guideline somewhere that showed how much negative would trigger the trustee to act.

No hard and fast rule on that actually, depends on your lawyer and judge assigned to your case as they are the ones that have to sign off on reaffirmation agreements. I can't remember if the trustee has to or not though since he represents the creditors he'd probably accept it more readily than the other two.

[JRScott]

Well only because the numbers on the sheet just seem so high. No way do we spend 1894 on food and clothing etc. Not even with diapers and stuff in there. They have the car part almost 150 more than our payment. We can totally lower that food category and that will mostly get us there. Do they argue with you about your number being too low? I mean, what if you are just a super duper couponer? :lol:

Use real numbers that you can prove in case the trustee asks for proof

[relief13035]

Do they tell you at the 341 if you can keep your car or not? We are <945>...