Didn't reaffirm car-Been Paying-Upside Down

[mixer99]

Hi, I didn't reaffirm my car that is financed through Drive/Santander at 20%. I essentially did a ride-through and have been paying the payments, currently being about a month ahead.

My question is- I did an appraisal at several sites, and realized that my payoff vs market value leaves me about $5,000 upside down.

My BK was discharged on 9/21. Is there a way to give the car back now without further impacting my credit or did I miss the window?

Advice?

[aces67]

Hi, I didn't reaffirm my car that is financed through Drive/Santander at 20%. I essentially did a ride-through and have been paying the payments, currently being about a month ahead.

My question is- I did an appraisal at several sites, and realized that my payoff vs market value leaves me about $5,000 upside down.

My BK was discharged on 9/21. Is there a way to give the car back now without further impacting my credit or did I miss the window?

Advice?

If you didn't reaffirm then you have no legal obligation and the debt is discharged so you can give it back whenever you get ready.

[aljohnson007]

You can stop the payments and drive it until they come for it. Don't have to call or tell them anything.

[mixer99]

Thanks everyone! No need to start off my fresh start any further in the hole than reasonable!

[aces67]

Just make sure you have something else lined up. If you intend to give it back stop paying on it and save that money for something else.

[robguy]

I was not sure if I needed to start a new thread but I have almost the same question but wanted to add something to it (if the Admin wants to move please do so) ~thanks

My wife and I filed Ch7 and it was discharged and we have been waiting 3 months for a car pay bill from Honda which we signed a reaffirmation with. I called them and they say they did not get in time and now their records show we included the car in the ch7 so no bills for us for the next 3+ years.

Okay we have been paying and are current on the loan. They refuse to tell us if our interest rate has changed, they refuse to tell us how they are applying the payment nor will the tell us if they plan on taking the car. I assume they lose if they come get the car so seems silly to do so. Now what happens at the end when I pay it off will the be obligated to give me the title release?? What if in 6 months I can no longer afford the car can I stop paying and I assume there is no liability on my part since according to them I filed ch7, right?

Has anyone done the above? how quick did they pick up the car? At the time we filed we thought we could afford to keep the car but now with a teen aged kid driving our insurance is almost as much as the car payment so we can afford it very much longer.

Thoughts??

Thanks

Rob

PS, again sorry if this should be a new thread if so please move.

[aces67]

If they didn't get the papers filed with the judge then it's not reaffirmed. Nothing should have changed as far as your interest rates go but you can only keep the car if you remain current on the payments. If you get behind they can repo it but you won't be liable for it after that since the papers weren't filed.

If you continue to make all your payments then you will get the title at the end.

[robguy]

Thanks for the reply. I was worried about the title release.

thanks again!!


Rob