Introduction and question.

[etechjc]

We will be filing a no-asset case with the equity on our truck being exempt. After the bankruptcy is discharged, We are going to concentrate on paying off the truck loan so that we can sell it or trade it and buy a more gas efficient car. by my calculations we will have payed it off in 3 months, possibly faster by donating plasma, selling stuff, etc... . With that is mind do you think we should re-affirm the truck loan with the thought in mind that by paying off the loan it will assist in improving our post bankruptcy credit?

[tcreegan]

Hi etechj,

I wouldn't make the decision based on a hypothetical effect on your credit report. Better to use a financial cost/benefit analysis approach...

What might be the best thing to do for a post-BK credit report is to pull your report a few weeks post-discharge from the big three and clean up errors. The lender will quit reporting once the BK hits, if you reaffirm or just keep paying, you might need to ask the lender to start reporting again.

Hope this turns out OK for you,

Tom in Colo