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Reaffirmation agreement on furniture - question

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    Reaffirmation agreement on furniture - question

    Hello again! This place is very helpful for information. We just filed our paperwork last week and included in a reaffirmation agreement for a furniture purchase. I tried to make a payment to them for the month of November and they told us our account has been closed because of the bankruptcy paperwork they received and we cannot pay on the account. Our attorney told us that the bank will fill out the reaffirmation agreement, send it to our attorney and we will sign it at our meeting of creditors on Dec. 17.

    Well the problem is that we have a 0% interest rate on a 4 year plan and $625 in deferred financing charges because of the interest rate. Since they won't accept my November payment and we don't have our meeting of creditors until December, does this mean they will hit us with a 24.9 default interest rate and add all the deferred finance charges to our bill since we technically missed a payment? If so, we only owe $1440 to begin with and they can just have the darn couch back.

    Anyone have experience in this area? Thanks so much!

    #2
    Why would you do a reaffirmation on furniture? Did you JUST buy it?

    From what I understand, your reaffirmation agreement does not go into effect until the judge approves it. You should not be facing any type of default charges.

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      #3
      Originally posted by walkthaplank View Post
      Why would you do a reaffirmation on furniture? Did you JUST buy it?

      From what I understand, your reaffirmation agreement does not go into effect until the judge approves it. You should not be facing any type of default charges.
      Thank you! Well we had bought it just a year ago on a 4 year loan and didn't want to give it back - have only paid about $500 on it. I guess Furniture Row is one of the ones that will show up at the meeting of creditors. But I just got off the phone with dh who called HSBC (who held the financing), they said they sold the loan to another place because of the bk and gave us that phone number. We called them, they said they take any fees etc. off, set up the balance on a 4 year plan to be paid off and that's it. Sounds like it will turn out okay. This whole process is un-nerving. Thanks for your reply!

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        #4
        Yes, I was wondering it they would come and take the furniture back I purchase about a 1 1/2 yrs ago... Really, what would they do with used furniture ???
        Those who live in glass houses should not throw stones
        Chapter 13 filed 10-21-09
        Discharged 4-13-15

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