How negative was your Sch J?

[albacore44]

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.

So if your paying your mortgages and car loans on time, and the banks don't request a reaffirmation agreement , you can do a ride through, keep your property ??

[Tbornetun]

If it is allowed in your state, YES.

[hopeforus]

Like Ohio it isn't.

I'm thinking Ohio really sucks. I realllly wish we were moving to the opposite states. Ohio TO Wisconsin because I'd so much rather take the way Wisconsin does it over Ohio. Now... I did see something about Ohio having child tax credit being exempt. Does that mean I would get to keep the whole child tax credit part of my refund??? I have 4 kids. I knew they would come in handy someday. ;) jk

[tazzy20176]

Just filed today, -243.

[ansky0007]

We filed a few days ago and we were negative $600, If it comes up in our 341 we will take our child out of daycare which is $600 and we would be even. Lawyer did not feel it was any issue to be concerned with,

[Keebler]

We had two cars and our house and we would have been -$924 on Schedule J but we decided to surrender the newest most expensive car and ended up showing -$554 instead.

The one remaining vehicle was broken and also tied up with cross-colateralization troubles with the credit union. While we tried to negotiate our way out of that mess we signed and returned the Reaffirmation on our mortgage and it was signed by our attorney and submitted to the court.

We ended up having the "Undue Hardship" hearing regarding the mortgage reaffirmation and the judge ruled it a hardship and refused to allow the reaffirmation. Both the attorney and judge were convinced that they were doing me a huge favor and weren't too interested in anything I had to say.

My philosophy is "I've got to live somewhere" but they weren't too interested in reasoning through the fact that my $450 house payment is cheaper than almost anything I could rent and my mortgage is $50,000 less than the property tax valuation so I'm far from being upsidedown.

Needless to say, we didn't even BOTHER trying to reaffirm the second vehicle after all of this and they towed it away the other day.

So now I'm completely debt-free and waiting for my dishcharge while I learn how to play the ride-through game with my mortgage and wonder what kind of trouble it'll cause me down the road.

[albacore44]

We had two cars and our house and we would have been -$924 on Schedule J but we decided to surrender the newest most expensive car and ended up showing -$554 instead.

The one remaining vehicle was broken and also tied up with cross-colateralization troubles with the credit union. While we tried to negotiate our way out of that mess we signed and returned the Reaffirmation on our mortgage and it was signed by our attorney and submitted to the court.

We ended up having the "Undue Hardship" hearing regarding the mortgage reaffirmation and the judge ruled it a hardship and refused to allow the reaffirmation. Both the attorney and judge were convinced that they were doing me a huge favor and weren't too interested in anything I had to say.

My philosophy is "I've got to live somewhere" but they weren't too interested in reasoning through the fact that my $450 house payment is cheaper than almost anything I could rent and my mortgage is $50,000 less than the property tax valuation so I'm far from being upsidedown.

Needless to say, we didn't even BOTHER trying to reaffirm the second vehicle after all of this and they towed it away the other day.

So now I'm completely debt-free and waiting for my dishcharge while I learn how to play the ride-through game with my mortgage and wonder what kind of trouble it'll cause me down the road.

So since the judge refused to sign the re-affirmation, he did not order you to surrender you house ?? or can they do that ??

[Keebler]

So since the judge refused to sign the re-affirmation, he did not order you to surrender you house ?? or can they do that ??

Here's the deal...

The Bankruptcy bans the lender from ever collecting on the debt. In this way I'm released from liability forever.

On the other hand, the mortgage is still a contract and the house is still collateral.

As long as I'm always current and keeping up with my payments they can't legally take any steps to take away the house.

[relief13035]

I need clarification.
My schedule J is -$900.
When I go to my 341 on 11/26, will I be told on that day if I can keep my vehicles or not?

[Keebler]

I need clarification.
My schedule J is -$900.
When I go to my 341 on 11/26, will I be told on that day if I can keep my vehicles or not?

Here's my experience...

NOTHING was said about this at the 341. The attorney went to work on reaffirmation right after I filed and signed off the one for the mortage and submitted it to the court. The notice of hearing from the court followed and the whole thing happened near the end of my 60 days.

This problem could have been caused sooner if the attorney had refused to sign the reaffirmation.

The problem could have been avoided by submitting the reaffirmation with an explanation of how I was able to make the payments.

My hearing was triggered because the reaffirmation paperwork wasn't clear enough to show the judge if it was a mortgage or a home equity loan.

At the hearing the attorney and judge were openly against any form of reaffirmation. However, the people before me had financed an engagement ring for a brother-in-law and the judge allowed them to reaffirm that one. Another case around the time of mine was able to reaffirm a $25,000 loan on a $16,000 car with $500+ monthly payments and a 12% interest rate. It's not like it couldn't be done.

I was prepared at my hearing to show how I could bring my budget in line and afford the mortgage, but the hearing never went that direction.