The Reaffirmation agreements are rolling in....

[footballfan]

Filed 12/31. Yesterday received the car reaff and today two reaffs, one from a furniture store, one from a big box electronics retailer.

For the two store cards, there wasn't anything that told me what would need to be surrendered. If you make multiple purchases on the card, how do you know what you'd have to surrender if you don't reaffirm?

Everything? What if you may have paid enough on the balance to cover some items?

I really don't plan on reaffirming on furniture. My husband might feel differently about the TV...

Appreciate your take on this!

[justbroke]

I would not reaffirm anything (period). I might reaffirm a car "if" the lender requires it, and there are only two that I know of (Ford Motor Credit and most credit unions).

I would never reaffirm furniture or a TV. Tell them to come and get it. It is not worth it form them anyhow, and they really won't come for it.

Did you file pro se?

[footballfan]

I did not file pro se, although it sometimes feels like it. Actuallly I emailed my attny because I thought it strange that they didn't ask for anything in particular, only to pay the balance on those cards.

He suggested not reaffirming (let them come get it), although keep paying on the car. As the paralegal pointed out, my attny charges extra for dealing with reaffirmation agreements (and I knew anything beyond the initial petition and 341 would be extra).

I've read enough on here to not reaffirm on anything, except maybe a car. So I feel confident in the decision not to. Yes, please come take that year old cat scratched dog bed of a sectional from my house....please.

But, do I need to contact these creditors and specifically tell them I'm not reaffirming, or do I just let it sit and expire? Also, if the creditor wants something back, do I need to go out of my way to let that happen, or do I make the rules about when, how, where, etc?

Thanks!

[justbroke]

But, do I need to contact these creditors and specifically tell them I'm not reaffirming, or do I just let it sit and expire? Also, if the creditor wants something back, do I need to go out of my way to let that happen, or do I make the rules about when, how, where, etc?

Absolutely no. Do not call them or write them or speak to them. If they want to talk to "you" they need to do so through your attorney. The reaffirmation agreement will expire at discharge. Just let it go!

Congratulations on learning the truth about reaffirmation!

[footballfan]

And the truth shall set you free!

[btbeme]

You will get enough reaffirmation agreements, car loan offers, and credit card offers to be able to heat your house for a month if you burn them. Do the right thing...Free heat!

[bcohen]

Believe me when I say this--no retailer of any consumer goods--except maybe jewelry--is going to attempt to reposess their collateral if you refuse to reaffirm. Furniture, electronics, computers, and other household items depreciate so rapidly that no creditor in their right mind would attempt to repossess them.

[jeff6898]

Actually Badcock will. I stopped paying them and they showed up at my door to repo a television, window air unit, microwave, portable dvd player and a year old used mattress.

Believe me when I say this--no retailer of any consumer goods--except maybe jewelry--is going to attempt to reposess their collateral if you refuse to reaffirm. Furniture, electronics, computers, and other household items depreciate so rapidly that no creditor in their right mind would attempt to repossess them.

[mountanddo]

Actually Badcock will. I stopped paying them and they showed up at my door to repo a television, window air unit, microwave, portable dvd player and a year old used mattress.

Never say never I say.

[bcohen]

What is Badcock? A rent-to-own place? Because no creditor with regards to a purchase agreement--as opposed to a rental agreement--can show up on your door to reposess consumer goods without going to court and obtaining a writ of replevin. Without that, you are under no legal obligation to open the door and/or surrender the items.

[justbroke]

I never say never either. I will always tell someone that they must be prepared to actually surrender or allow a repossession to occur should they "play the game". In the overwhelming majority of cases, they will not come for the collateral if there has been a good amount of time between the purchase and the Chapter 7 bankruptcy filing. Don't ask me what "good amount of time" means, but I'd guess that it would need to be well over a year that you purchased the items.

With local stores, you run a higher risk that they will come and retrieve their collateral. As I have mentioned, time seems to lessen this desire to repossess.

[footballfan]

I think the only thing on the big box electronics store is a portable room air conditioner -- and we are more than willing to surrender.

Since we are not paying our attorney extra dollars to represent us with these reaffirmations, do I need to contact the creditors themselves? Will the trustee want to know at our 341 if we are reaffirming or surrending each of these debts?

I'm okay with doing nothing, and if they really want the old mattress, sectional or air unit, I'll let them come get them. Just want to be certain I'm not missing any opportunities or jeapordizing our case by doing anything/doing nothing.

thanks!

[footballfan]

Received the reaff agreement for vehicle #2. In the cover letter, they stated the following:

"Retain and pay is no longer an option under the current Bankruptcy Code. Debtors may reaffirm, redeem or surrender the vehicle."

Is that 100% true?

[justbroke]

"Retain and pay is no longer an option under the current Bankruptcy Code. Debtors may reaffirm, redeem or surrender the vehicle."

Is that 100% true?

It's true in Florida, but only a couple of lender are known to repossess or force the issue (Ford and most credit unions). The truth is that the bankruptcy code only lists 3 options which you named above. However, state non-bankruptcy law comes into play and in many States, they can't repossess if you're current and you've only had a breach simply because you filed bankruptcy.

So, you must look to your State and bankruptcy District as to how they behave. I don't know for Colorado.

[btbeme]

I think the only thing on the big box electronics store is a portable room air conditioner -- and we are more than willing to surrender.

Since we are not paying our attorney extra dollars to represent us with these reaffirmations, do I need to contact the creditors themselves? Will the trustee want to know at our 341 if we are reaffirming or surrending each of these debts?

I'm okay with doing nothing, and if they really want the old mattress, sectional or air unit, I'll let them come get them. Just want to be certain I'm not missing any opportunities or jeapordizing our case by doing anything/doing nothing.

thanks!

Don't do anything. Don't waste your time. If they are serious about coming to get it, they either need your permission or approval on a whole big stack of paperwork. I say make them do the paperwork. Any idiot can make a phone call and ask you to return it. That is usually where it ends.