If I don't sign the reaffirmation agreement

[vaslimkat27]

I am aware under the new laws a debtor does not have the option to retain an automobile. As I understand the debtor must sign a reaffirmation agreement within 30 days of his or her last creditors meeting or the stay is lifted off the auto. But if the stay is lifted, that alone is not grounds for the auto to be repossessed or is it? I was under the impression that the creditor must exercise non-bankruptcy laws to gain possession of the auto. Thus, if the debtor is current on payments, has full coverage insurance and has not violated the terms of the originial contract can the creditor legally repossess the auto? If not and the creditor does repossess the auto is the debtor only entitled to actual damages?

[AngelinaCat]

If you keep making the payments on time and aren't late, you are doing what is called a 'ride-through'. As long as you keep paying the loan company will not be interested in trying to repo your vehicle.

The advantage to a 'ride-through' is that if something happens that you can no longer make the payments, you can let the car go and you will not be responsible for the difference between what you owe and what the car sells for at auction.

If you sign the reaffirmation papers and you can't make the payments, then you will be responsible for that difference.

[IBroke]

If you keep making the payments on time and aren't late, you are doing what is called a 'ride-through'. As long as you keep paying the loan company will not be interested in trying to repo your vehicle.

The advantage to a 'ride-through' is that if something happens that you can no longer make the payments, you can let the car go and you will not be responsible for the difference between what you owe and what the car sells for at auction.

If you sign the reaffirmation papers and you can't make the payments, then you will be responsible for that difference.

Now that's interesting! So I could get rid off a loan by including the car in CH7 and have my co-signer continue to make the payments (and keep the insurance) until she files and then have her redeem the car?