letter today from attorney re/ Reafirmation

[B65]

He gave us a reaffirmation from capital one a week or so ago and we signed it and sent it back to him... the car is only 9 months old and we want to keep it. Had 341 yesterday. Well today I get a letter in the mail saying we have 4 choices and we have to sign one.... #1. we waiver the right for him to represent us regarding the reaffirm ( can i enter agreement with creditor myself)?
#2 I enlist attorneys help at either.... $450 to negotiate for me but no court appreances.
or $450 plus $25 an hour for court hearings.

what do we do?

is this because my husband had written on the reafirmation from capital one interet rate eduction blah blah blah. what if we keep it at rate and term it is? do we still need to pay?
what is the simplest way and cheapest to do this and be able to keep my car?

any advice?

B

[B65]

also

I guess he will charge me if a creditor objects as well right? that is not included in the price I paid....

B

[B65]

ps

That should read $325 an hour.

B

[GreenInkOnPaper]

What if you don't sign, and just do a ride through?

[B65]

I dont know

I don't know anything about all this, I guess they could take the car, we have never missed a payment but the attorneys office said it is an option...
what did everyone else do? did they reafirm? use the attorney? or did you do it yourself with the company or not at all?
I am at a loss..

B

[GreenInkOnPaper]

If you keep sending payments, and they keep accepting them, I wouldn't sign a re-aff. Cap1 is notoriously slow about picking up cars that are not being paid for ~ I doubt they'll go out of their way to come get one that they are actually getting paid on...

[subking]

Didn't sign my auto reaff. still driving.

[B65]

well I know

that cannot take it while waiting for discharge, it is what they can do after..

B

[jessegirl]

I never signed my reaffirm and i am still making payments and I never heard anything from them. As long as you are paying why would they come and take the car? There getting there money.

[carbk]

When I filed for bk, DID NOT sign the re-affirmation agreement per my attorney's advice. As long as you continue to make your payments, they cannot take the car away from you. I actually would also suggest that you dont re-affirm the debt incase you change your mind later you can always just turn the car in.

For example I am glad I did not sign my re-affirmation agreement because I still owe $28k on my car but its only worth $18-$20k I might end up just turning it in, all depends on my job in the months to come. Had I signed my re-affirmation I would NOT have this option. GL

[B65]

thanks

I think it was the legal sec that worried me saying if I did not reaffirm they could come get the car anytime. I need my car.. But that does not make sense, if they are getting paid why would they? did anyone not reafirm and lose the car?
the only other advantage was building credit by reafirming and maybe getting a slightly lower payment but I i don't think that is worth it... a secured credit card would build me just as much credit right?

b

[bkchap7filer]

I had a conversation with GMAC about this very thing. I owe about $7k and the truck is worth just over 11k and I have never been late on a payment. I DID sign the reaffirmation agreement and it is filed with the court (no word on an order to approve or deny, so no news is good news. My attorney DID attest to the "no hardship", so hopefully it will be fine), but I was/am nervous about it going through okay. Just because I love the truck and am paranoid. Not to mention that the original reaffirmation that was filed was denied by the court due to a procedural error (signature problem), and it had to be amended and refiled.

ANYWAY, I called GMAC to talk with them about "worst case scenario" if it were denied for some unforseen reason. They told me that they always reserve the right to come and get a vehicle even if the payments are current. They said that they don't do it very often, but it has happened. They said while it is unlikely, they do hold that right. I asked them for an example of when they have done this just to better understand why it could happen.

The examples were situations in which the person was historically behind, but got an insurance settlement to bring it current. In this situation, they have reason to believe that it would go delinquent again. Another example, is related to the schedules/forms of the bk in terms of if someone put something in there about not planning to pay. In this situation they would come and get the vehicle even if it were current due to the intention of the borrower.

So, no examples of a simple case of someone making the payments for 3 or so years on time every month, doing a ride-through and maintaining current payments and them just deciding to come and get the vehicle. They are clear to continue to say that they reserve that right, but it isn't likely. They are in the money lending business, not the property holding business....they want money!

I don't know enough about the laws concerning this to know if you are in a worse situation with a ride-through if you have equity in the vehicle or not?? My first thought that if I were pushed into a ride-through rather than a reaffirmation for some reason, then I should double up on payments and pay it off as soon as possible since I don't have a contract in place and I want to keep my truck. But then, I wondered if having equity in it would make them want to come and get it even if I were current. So, if I doubled up and had the pay-off down to like 3k and it was still worth 10k it would behoove them to come and get it and auction it off for a profit. This opposed to a negative or no equity situation where it doesn't pay them any more to sell it than they would get from my payments. I don't know, however, if they are entitled to the "extra" money that such auction would bring??!?!

[subking]

I wonder if anyone that has continued to make payments has had a repo after a discharge.

[StartingOver08]

I wonder if anyone that has continued to make payments has had a repo after a discharge.

I did a little research regarding your question subking. This is what I found:

http://www.************************/...in-bankruptcy/I have a question about a bankruptsy discharged 2 years ago. I reaffirmed my auto loan during the bankruptsy (or I was told I was) and my vehicle was repossessed approx. 1 month ago anyway. Nissan says they received no paperwork stating my intention to reaffirm. I was making payments and sending extra almost every month to catch up, so I was floored to hear from the finance company no affirmation letter or anything was ever sent to them. Do I have any recourse with the atty. that handled my case? I was in the last year of payments and now I have not transportation, have no way to get to the doctor or work. I live in Atlanta, GA.

[subking]

Thxs for that. I guess there is no real answer it kind of a wait and see. Pay and keep it till them come get it, if ever or don't pay and let them take it.

I want to keep my car and have made all payments so far. It seems to me to make sense to just keep making payments and keep it until notified by the bank otherwise. After BK I'm sure I'll pay through the ass in intrest rates even for a used car thats even if I can get an auto loan.