Ride Throughs don't exist, or do they?

[Nicollette]

Ok, what would my situation be considered? The paralegal at my attorney's office says I didn't reaffirm on my vehicle, but the trustee makes the payments for me. Although, I believe she did tell me that if I ever wanted to give my car back, I'm still responsible for the defiency balance. Wouldn't this be considered a reaffirmation, even though I didn't sign any reaffirmation agreement?

[justbroke]

On our petition instead of checking the box for reaffirm, our lawyer simply typed in "debtor will retain collateral and keep making payments". This seems to be common practice, at least in our area.

District specific. This is why I hate the BK laws. Inconsistency. The BK Code around redeem, reaffirm or return (surrender) talks about property of the Estate, which just happens to include real property.

The reason the default clause around Bankruptcy in the contract is moot, is because Bankruptcy supersedes the disposition. Doesn't mean that a default didn't occur. How do credit unions continue to kick people out, if it wasn't for a Bankruptcy default?

And you're right... underlying State non-bankruptcy law is controlling in almost every aspect. In our State, seems that repossession is okay if you don't redeem, return or reaffirm. The reason it's confusing, is because it's up to the lender to take an action... and many of them don't. I don't believe that changes the underlying rules, code, statutes, laws.

[justbroke]

Ok, what would my situation be considered? The paralegal at my attorney's office says I didn't reaffirm on my vehicle, but the trustee makes the payments for me. Although, I believe she did tell me that if I ever wanted to give my car back, I'm still responsible for the defiency balance. Wouldn't this be considered a reaffirmation, even though I didn't sign any reaffirmation agreement?

You are in a Chapter 13. It's different for Chapter 13s as there is no re-affirmation. The Chapter 13 Plan of Reorganization is basically your "technical" reaffirmation.

In a Chapter 13, the Trustee continues to pay your secured creditors through the life of the Plan. Underlying State-specific non-bankruptcy law controls when the lien is satisfied and when you'll receive title for vehicles paid off during the Plan.

[laurannm]

District specific. This is why I hate the BK laws. Inconsistency. The BK Code around redeem, reaffirm or return (surrender) talks about property of the Estate, which just happens to include real property.

The reason the default clause around Bankruptcy in the contract is moot, is because Bankruptcy supersedes the disposition. Doesn't mean that a default didn't occur. How do credit unions continue to kick people out, if it wasn't for a Bankruptcy default?

And you're right... underlying State non-bankruptcy law is controlling in almost every aspect. In our State, seems that repossession is okay if you don't redeem, return or reaffirm. The reason it's confusing, is because it's up to the lender to take an action... and many of them don't. I don't believe that changes the underlying rules, code, statutes, laws.

Agreed, it's maddening how a lot of the rules are district specific.

I think to sum it up for the OP, talk to an attorney (even if you are are pro se) to see how things are handled in his/her district