what is the difference??

[pink_amulet]

Ok I have a question.... What is the differece between:

Debtor's statement of intention AND Reaffirming a debt??

This weekend we plan on giving our auto back. We are current, but it's not worth fixing, it need alot of work...We NEVER signed anything that said reaffirming the debt, However I came across a paper in my file that says debtor's statement of intention??

There are three spots to check:

Property is claimed as exempt (no check mark)
Property will be redeemed pursuant to 11USC 722 (no check mark)
Debt will be reaffirmed pursuant to 11USC524(c) (check mark!!!!!!)

It has our named typed, but not signed, it is also dated, the day before we filed.

There are NO AFFRIMATION papers listed on Pacer. Would there be?? When the auto place got the notice of filing they called us and asked what we planned on doing, we said keep it, and they said oh ok, because we did plan on that. The auto place never sent us anything to sign, doesn't those papers come from them??

I knew this wa too good to be true!!!!!! Now I'm starting to panic!!!

pink

[JeepMom]

Our reaffirmation papers are not on pacer. I'm honestly not sure what to tell you on this one.

[Minnymouth]

Pink,
Debtors statement of Intent - tells the Court what you intend to do with your belongs - keep them or surrender them to the creditors

Reaffirming - means you are to keep the item and continue to pay for it as usual. But papers must be signed before discharge in order to reaffirm.

OKAY,
Did the auto company send you any papers to sign to keep your car?
Did you sign anything at the 341 meeting?
Did you use an attorney? If so contact him about this.

Its my understanding that as long as you DID NOT REAFFIRM (sign papers), that your auto is included in the discharge. But since you are keeping your payments current, and the auto place thought you were reaffirming, they have made no contact with you to pick up the auto. You have to default on payments for them to repo it....

If it is included in the discharge (check with your lawyer), and now you decided to surrender it, all you have to do is make arrangements for them to pick it up, and the balance owed becomes part of the bankruptcy discharge.

NOW IF YOU SIGNED reaffirm papers, and you want to surrender the auto now, you will have to pay the balance of what the difference is when the car is sold and what you owed on it. Because it was not included in your BK.

The reaffirm papers MUST BE SIGNED in order to be valid with the court. Otherwise the debt is discharged.

Hope this helps,

Contact your lawyer about this....

[StaciMM]

The SOI is part of your petition. Just like your income schedule, list of creditors, etc. It is not binding however. A reaffirmation would have to be signed by you, and filed at the court, prior to discharge. If you did not sign anything, the debt was included in BK. LIsting that you intend to reaffirm on the SOI is NOT a reaffirmation. Much like an engagement... You're saying you intend to marry someone. You don't get married by accepting the proposal.

[StaciMM]

Ps-I don't know the specific time frame, but I think it is somethng like 60 days after signing a reaffirmation that you can cancel. Even if you had signed it, there is a possibility of backing out. I think that is to try to make sure no one is coerced into a reaffirmation.

[pink_amulet]

Did the auto company send you any papers to sign to keep your car?
Did you sign anything at the 341 meeting?
Did you use an attorney? If so contact him about this.

To answer you questions....

NO~papers from auto place.
NOTHING ~signed at 341.
and I'm waiting for my lawyers office to open...

It is a local dealer..."buy here pay here kind of place". Our next payment is due by Monday. We were planning to drop the car off at their lot and hand them the keys on Monday.

I'm waiting for lawyer.....ho hum!!!

pink

[Minnymouth]

Okay, your bases are covered..... your good to go.......

Just make sure they give you paperwork SHOWING you turned the auto back in to them on the date you turn it in.... (cover you butt)....... and the condition that they received it...............

[pink_amulet]

whew....

I'm still waiting for my lawyer's office to open in about 20 mins.

[Minnymouth]

Be sure to get that "release"......

[pink_amulet]

Ok all set.....the lawyer said, just get a receipt or invoice so dealer can't come back later and say they never got it. Also to have the dealer contact them if the dealer ever tries to say we owe money.

Thanks guys for your advice and answers.

pink

[Anj]

Pink - I filed a 7 back in 2001 -

We never reaffirmed on a truck that we kept in the 7 - and about... hmmmm.... 2 months after discharge it was repossed because we were late on a payment...

BUT - it worked out to our advantage - it wasn't listed as a repo on our credit, but as included in the BK - so we went out that very same day and were able to buy a used minivan for 16k with a decent interest rate.

what does this have to do with you??? Just throwing out there that if it is listed on your credit as "included in BK" it's a much better thing on your credit...

don't even know if that was helpful... LOL