when to let a loan company know your filing.

[bigtim6656]

I am and have always been current on my jeep payments. I plan to reafferm my loan and keep the jeep. When I make my payment in sept should I go in and let them know I will be filing and sit down with them and make sure everything is ok? Or let my lawyer handle it and not do anything but make my payment?

[drowning123]

I have a car that I'm planning on keeping for a little while longer. I filed yesterday and I didn't notify the bank before. I'll continue making payments, but I won't reaffirm. I want to be free and clear. They won't repossess. They want the money. In 6 months or so, I'll tell them to come get their car after I'm done with it. From what I've read on this forum, you can get a new car right after bankruptcy, if that's what you're worried about. There are lenders. You may have to shop around a little, but you'll find someone who's willing to take a chance. I'm sure there are waaaay more knowledgable folks who can answer, but this is my experience.

Disclaimer: I'm not a lawyer!

[bigtim6656]

I am not worried about the debt or such, I have equity in the jeep, it runs good, fits what I need, plus dad cosigned for me and it would trash his credit. I see no reason to give up a great car with equity for something I would end up owing more then it is worth, and something that is not as good as my jeep.

I have a car that I'm planning on keeping for a little while longer. I filed yesterday and I didn't notify the bank before. I'll continue making payments, but I won't reaffirm. I want to be free and clear. They won't repossess. They want the money. In 6 months or so, I'll tell them to come get their car after I'm done with it. From what I've read on this forum, you can get a new car right after bankruptcy, if that's what you're worried about. There are lenders. You may have to shop around a little, but you'll find someone who's willing to take a chance. I'm sure there are waaaay more knowledgable folks who can answer, but this is my experience.

Disclaimer: I'm not a lawyer!

[drowning123]

Ok, sounds like a plan. If you only have a year or two left on it, then I'd just pay it off as soon as possible, especially with all that freed up money you'll have after discharge. Good luck!

[bigtim6656]

Kind of my thought, I figured I can pay it down to a few thousand and then use it to build a credit history and not eat up a bunch of interest.

Ok, sounds like a plan. If you only have a year or two left on it, then I'd just pay it off as soon as possible, especially with all that freed up money you'll have after discharge. Good luck!

[BobMango]

I reaffirmed on my truck, (lots of equity, little time left on loan.) I called my CU immediately after filing. They were very easy to work with. Dropped the monthly payment and advanced the loan to get me current again. They also removed all the past negatives and the loan now shows as reaffirmed, no late payments.

[bigtim6656]

WOw that is nice of them, do they still report to the credit companies.

I reaffirmed on my truck, (lots of equity, little time left on loan.) I called my CU immediately after filing. They were very easy to work with. Dropped the monthly payment and advanced the loan to get me current again. They also removed all the past negatives and the loan now shows as reaffirmed, no late payments.

[BobMango]

WOw that is nice of them, do they still report to the credit companies.

Yes they do. The entire loan history shows, both pre and post bankruptcy, with no late payments. So my credit history showed an average age of just over 4 years right after bankruptcy.

This is one of the nice things associated with small, local credit unions. Since I worked with them before the 341, they came to the meeting, gave our attorney the reaffirmation papers and since everything checked out everybody signed and we all walked away happy.

I don't know why more financial institutions don't work this way. They were able to take a loan that had some problems, restructure it and now we're only about 6 months from getting it paid off. If they hadn't lowered the payment from 630 to 400 it would have been a different story. That $230 a month has made all the difference this past year. At any rate this is my last car loan.

The flip side is that you can get hammered by a CU in bankruptcy because of cross collateralization. I only had a small savings and my loan with this credit union so I didn't need to worry about them tacking on a credit card bill to my reaffirmation.

[df04527]

You are aware your dad is going to be involved also right? I believe you said he was a co-signer on the loan?

[bigtim6656]

actuly he is a co owner. We are both on the title.

You are aware your dad is going to be involved also right? I believe you said he was a co-signer on the loan?

[df04527]

Just wanted to be sure your aware your dad's credit could be affected when they mark that tradeline as IIB at the bureaus. That's also depending on if it's reporting to his report.

[IBroke]

Just wanted to be sure your aware your dad's credit could be affected when they mark that tradeline as IIB at the bureaus.

If the "IIB"-notation appears on somebody's report (co-signer) who didn't file BK, that notation can and should be disputed.

Otherwise, it would still show a balance (because the co-signer didn't file BK and is still liable) AND an "IIB"-notation. That wouldn't make much sense.