Auto reaffirmation question...

[Rob517]

I'm planning to rescind my agreement as I stated in my other post but I was reading another thread and something caught my attention. When you reaffirm an auto loan you are you locked in to the remainder of the loan term? For example you could not trade in your auto for a newer one early even if you had to roll some of the negative equity into the new loan? I realize I would have to pay the full amount of the loan but I would have to make all the payment to the end? No paying off early or trading in? I figured you could at least trade in since the creditor would be getting paid off and you would be rolling the negative into a new loan. Am I understanding this correctly, if I had 4 years to go on my loan I could not trade in or pay off early until the end of those 4 years?

[LimpDisc]

Reaffirming is simply saying you will pay the loan on the original terms.

I wouldn't reaffirm an auto loan where I am upside down.

[StartingOver08]

You can still trade it in - but as LimpDisc points out reaffirming a loan in which you are upside down is not in your best interest. Can you do a ride through instead?

[jribe]

The reffirmation is basically stating that you intend to be held financially responsible for the auto loan - no matter what. If you surrender the car because you cannot afford payments any longer- you are then legally liable for the remaining deficiency balance due if you sign a reaffirmation.
I have never seen something stating that you cannot payoff the loan early. They are just concerned with the payoff of the loan - period.

I'm planning to rescind my agreement as I stated in my other post but I was reading another thread and something caught my attention. When you reaffirm an auto loan you are you locked in to the remainder of the loan term? For example you could not trade in your auto for a newer one early even if you had to roll some of the negative equity into the new loan? I realize I would have to pay the full amount of the loan but I would have to make all the payment to the end? No paying off early or trading in? I figured you could at least trade in since the creditor would be getting paid off and you would be rolling the negative into a new loan. Am I understanding this correctly, if I had 4 years to go on my loan I could not trade in or pay off early until the end of those 4 years?