Car charged off - BofA won't reaffirm?

[AZNoName]

I called BofA to catch up on my car payments (now that my Ch13 was converted to Ch7), and I intend to keep the car and possibly reaffirm or get a 722 redemption loan.

I was told that the amount was 'charged off' because it's been so long since I filed, and even if I catch up on payments, the won't reaffirm the debt. I can continue to pay as normal, and once it's paid in full, they will release the title.

So the fact they won't reaffirm - is that a good thing? I can just keep paying without worry of being sued if I default?

The BofA lady also told me they would settle for 70% of the amount of the loan (21K * 70% = 15K), so if I want to contact BofA or another lender to get a new loan and settle for the amount, that was an option as well. Maybe I'll catch up on payments and stay current for the next year until my credit rebounds, than refinance for 70% of the loan amount?

Is this normal?

[malf1204]

Well in Bankruptcy you are entitled to Redeem that car for fair market value. That is probably less than 15K. I would check the Kelley Blue Book value of your car and see what it is. As an example my lender wanted to "settle" for 1/2 of my loan value, I filed a "Motion to Redeem" and they then offered 25% pay off of the loan value which I took. It cost them thousands to repossess your car, and sell it at auction so you have the upper hand. It is better to "ride-through" and not reaffirm. The loan is discharged and if something happens and you cannot make payments the worst thing BOA can do is repossess the car.

[justbroke]

I have no better advice than stated above! Check out your redemption options!