CH 7 and Reaffirmation of Car

[dive2xs]

I was filling out the documents, and discovered on the reaffirmation agreement

"You are allowed to pay this debt without signing this agreement. However, if you do not sign this agreement and are later unwilling or unable to pay the full amount, the creditor will not be able to collect it from you. The creditor also will not be allowed to take your property to pay the debt unless the creditor has a lien on that property."

Does this mean I would be best off, not signing the agreement, and just continuing to make the payments?

If I did this, I would assume as long as I am current they would not take the car corrrect?

I am filing today 2/2/05 and have 5 weeks to do the reaffirmation.

Any one have any comments?

[Dawn1970]

. "The creditor also will not be allowed to take your property to pay the debt unless the creditor has a lien on that property."

You can bet with a car loan, they have a lien on the property and would take the car from you if it were worth anything and if you did not continue to make the payments on time. I don't know how old the car is, what it's worth, or what you owe on it. When I went through my Ch 7, I owed a few hundred on an older car and I tried to reaffirm on it, but nobody from the bank showed at my 341. They were just going to write it off. But I went ahead and paid off the remaining balance so that I could get a clear title to the car since it is still drivable.

On the other hand, though, if you don't sign the reaffirmation agreement and they do repo it and sell it, you can't be held liable for any remainder owed after they get what they can from selling it. So I definitely see your point! What does your lawyer think?