Issue with my bank

[xaviationud]

I bank at a credit union. I have a Credit Card, and a car loan through them. Currently owed on the car is $850. According to Kelly Blue book, it's worth $1,000 or so.

I put the credit union credit card to be wrote off, but put the car as exempt. I received a letter and reaffirmation forms from my bank. I called them and they said they would repossess the car even if I did continued making payments, and the only way to continue was to fill out the reaffirmation papers and give it to the trustee, which my meeting is tomorrow. I talked to the bank a month ago.

The situation has changed a little. I no longer want to keep the car, as the transmission is going out, and it needs a lot of repairs.

Is everything all good if I do not fill out the reaffirmation forms and they just repossess it?

Thanks.

[hamburgervol]

Tell them you will not sign the reaffirmation agreement. I bet they won't repo.

[StartingOver08]

They might not repo, but they may in fact not issue the title if he does a ride through (pay without reaffirmation). If the OP wants to get rid of the car, then surrender it in the BK. This involves just filing a new Statement of Intentions with the court - not a big deal at all.

[hamburgervol]

They might not repo, but they may in fact not issue the title if he does a ride through (pay without reaffirmation). If the OP wants to get rid of the car, then surrender it in the BK. This involves just filing a new Statement of Intentions with the court - not a big deal at all.

So if xaviationud doesn't reaffirm and does a ride through and eventually pays the remaining balance, the bank can still keep the title even though the terms of the loan have been fulfilled?

[StartingOver08]

That is what the cross collateralization clause does to hurt the debtor. If you renegotiate the reaffirmation to remove the cross collateralization, then this would not happen.

Yes, it can be done. I did it with one of my cars at a local CU.