Question about rescinding reaffirmation

[h777]

I have done a search but I have not seen a straight answer to rescinding reaffirmations. Here is the situation. Basically, at the time of filing my bankrupty, I stated my intent to reaffirm the vehicle. However, I have not received paperwork from credit union. Upside down about $6k. My discharge was a few days ago. If it matters, I live in Virginia. My questions are:

1) If I decide to surrender my vehicle, can the credit union still sue me for the deficiency of the balance because I stated my intent to reaffirm my vehicle loan at the beginning in the bankruptcy filing, BUT did not sign any of the reaffirmation paperwork? Basically, how much does the intent mean without signing actual reaffirmation paperwork? Does this vary state by state?

2) I noticed in many threads that people have been advised not to sign reaffirmation agreements. What intent do they put in their filing at the beginning?

3) Could you still negotiate fair market value of the loan post discharge even though your intent was to reaffirm at the beginning, but did not sign paperwork?

4) Are there any timelines of the situation stated above?


Would greatly appreciate this if somebody could let me know what my options are and timelines.

[jessegirl]

I have done a search but I have not seen a straight answer to rescinding reaffirmations. Here is the situation. Basically, at the time of filing my bankrupty, I stated my intent to reaffirm the vehicle. However, I have not received paperwork from credit union. Upside down about $6k. My discharge was a few days ago. If it matters, I live in Virginia. My questions are:

1) If I decide to surrender my vehicle, can the credit union still sue me for the deficiency of the balance because I stated my intent to reaffirm my vehicle loan at the beginning in the bankruptcy filing, BUT did not sign any of the reaffirmation paperwork? Basically, how much does the intent mean without signing actual reaffirmation paperwork? Does this vary state by state?

2) I noticed in many threads that people have been advised not to sign reaffirmation agreements. What intent do they put in their filing at the beginning?

3) Could you still negotiate fair market value of the loan post discharge even though your intent was to reaffirm at the beginning, but did not sign paperwork?

4) Are there any timelines of the situation stated above?


Would greatly appreciate this if somebody could let me know what my options are and timelines.

How did you do the intent? have you been paying on it?

We didn't reaffirm our vechile and my attorney says that as long as it was listed in our petition and a creditor and we did not sign a reaffirmation note that we are free and clear if we give back the vehicle.

We are still current on it, but we are letting it go, they say we have no obligation because we did not sign anything. Now, i am not sure what your intent is or if it differs from state to state. Also, it has to be lsited on your petition.

Hope that helps a little bit.
goodluck.

[h777]

Thanks for the response. My intent was put into the bankruptcy petition that I filed in Nov. There is a page that is called "Chapter 7 Individual Debtor's Statement of Intention". It is there that I put my intent to reaffirm. So my question is that with my discharge happening a few days ago, what does this intent mean without having signed reaffirmation paperwork? Just want to know of people who have been successful at doing this.

[BnkrptcyLwyr]

If you have not signed an actual reaffirmation agreement (and had it approved by the court (if necessary)) then you have no need to rescind anything. Just because you stated on the statement of intent that you wanted to reaffirm does not mean the debt was actually reaffirmed.

If you did sign a reaffirmation, then you may rescind it until the later of (1) the date of discharge, or (2) 60 days after the reaffirmation was filed with the court.

[h777]

Thanks again for the response. Starting to understand this more and more now. If I understand this correctly, even though I put my intent to reaffirm on my petition, and I do not either receive a reaffirmation agreement from credit union or decline to sign the reaffirmation agreement, this in the eyes of the court becomes an intent to surrender then? Reason I say that is because there is no longer a ride-through option. In my case, I have been discharged and case closed. All I need is a yes or no answer to this.

[h777]

!

[2live]

I'd like to know too!

[Brighterdays]

Are you Bk'ing any other loans or cards through the credit union? I know CU are notorious for cross colateralizing loans. Meaning you must pay off everything or nothing.

[StartingOver08]

If you did not sign a reaffirmation agreement, you can surrender the vehicle and they can not come after you for the deficiency. You did not sign a reaffirmation agreement according to your post. So yes, you can turn it in if you so desire.

If you continue to pay on time every month, you will have effectively done a ride through, which is what many people choose to do.