Reaffirmation of car

[tmr76]

What is the name of your state? IL

We were planning on reaffirming our car but before we did so, I wanted to check out a few redemption companies in the area. Turns out, they are through a lender whom I despise (US BANK) and will never again get a loan through after the harassment we had to deal with until paying our truck off last year. I will just stick with the terms I have now since our interest rate isn't going to go down from 23% anyway.

I'm assuming that we have to sign the agreement in order to avoid having the car repo'd due to the assumed discharge but when do we have to have this completed and returned to them? My 341 was on Aug 5th, does that mean I have 60 days from that date to get the discharge - meaning I have pretty much two days to get to my attorney and sign them and returned to the lender????? I am a little worried at this point!

 

[Ladynred]

I'm assuming that we have to sign the agreement in order to avoid having the car repo'd due to the assumed discharge but when do we have to have this completed and returned to them?

Unfortunately, IL doesn't let you keep secured property w/o reaffirming or redeeming. Reaffirmations must be approved by the court and completed before your discharge.

 

[tmr76]

What happens if I cant get ahold of my attorney before the discharge - who do I contact then? We HAVE to keep this car, period. What do I do now???

 

[Ladynred]

Do you have the reaffirmation papers signed ?? If your lawyer isn't going to be around, you might want to call the BK court clerk and see if you can't get the reaff papers to the court yourself.

 

[tmr76]

No, he has the papers and I finally got ahold of him yesterday... he suggested that I not sign them then I can walk away if we need to in the future. The problem with that is, I talked with the lender and they said if we do not reaffirm, we can keep the car but they will stop reporting to the bureaus. I need that note on my report to help us rebuild our credit! Anyway, he said that if we decided we wanted to anyway, I should call them and get a new loan balance because the papers he had were from June.

Even so, I need to sign them, send them to the lender and they send them to the BK court. If our discharge is today, I will miss it... However, my attorney said that we didn't have to get the court approval for it nor did we have to get it in before the discharge, just as soon as possible. He said the reaffirmation was an agreement between us and the lender.

Now I am confused since I read that it does have to be done prior to the discharge...????? Yes or no?

 

[Ladynred]

I need that note on my report to help us rebuild our credit!

No you don't. There will be more than enough opportunities for new credit to help in the rebuilding process.

If your lawyer says the court doesn't have to approve it, go with him, though I'm not sure I understand it. The BK code DOES state that it must be approved by the court too.