Dell Computers are a real Problem

[CoCoChanel]

If someone wants to keep it and continue to pay for it but not reaffirm they can ,it is an option that keeps you from the fear of reposession and it also protects you from future liability.

That is exactly what I want to do. I want to keep the computer, keep paying for it(althoughh I am 2 payments behind)and not reaffirm. Is this possible? I am not interested in some legal situation where the first time I miss a payment, somebody is knocking on the door trying to get their property....I am not sure what they do if you do miss a payment with affirmation or not, but I do not want to take the chance.

[ruggal]

We also had two Dell Computers, both through our business with personal guarantees. Our experience was the same as Demismom. Our attorney listed them as unsecured, and my 13 was confirmed June 21st. I think it may be due to Dell Financial being a separate business entity (factoring company, that I believe is underwritten by Citifinancial) from Dell (the computer company).

Our claims bar date is Aug 28, and as of today, nothing from Dell.

[rrockinggramma]

It is my understanding that once you are discharged, with no reaffirmation in place and approved by the court, for Dell to repo your computer would take a Writ of Replevin, which is filed at the court and then served by the court to you. For a computer, it cost way more to file that Writ of Replevin than it does to simply write off the computer.

[demismom]

We didn't reaffirm out Dell computer and our lawyer put it down as an unsecured debt on our petition. I was worried too and our attorney said that I'd have a better chance of winning the lottery than having Dell show up at my doorstep wanting my computer! LOL

[CityGirl]

What if you're in chapter 13? Is that an issue to re-affirm?

[JRScott]

The age of the computer is of course of interest. If this was a recent purchase then DELL might claim the computer if you do not reaffirm.

If the computer is 1 year or more older then it is likely worth less than half of what you paid for it.

If the computer is 3 years or more older then it isn't worth more than a couple hundred dollars in most cases.

Now if you still have your DELL financial agreement, you should look over it and make sure that it says the loan is secured by the property. I think as someone else pointed out here that it is not always considered collateral, mainly due to the high devaluation that electronics go through.

When I filed I sat down and figured out the payments that I'd made and really speaking over the time I've paid they've already been paid more than the original bill was. (About 20 to 25% more).

Like you I was worried about losing it, as I have no TV and it is my major form of entertainment. My lawyer put it as unsecured on the petition and when I asked he said, let them tell us its secured and prove it first. (Mine is 3 years old though)

10 more days for objections and so far not a peep from anyone.

[CindyLou]

they called i said the computer was not working well and I did not wish to reaffirm. I asked them to send me in writing where it was secured. I NEVER heard back from them again. I still have the computer. I have never heard of a middle of the night dell repo man showing up on the door step! Unless you have a very very exprensive system I wouldn't worry about it. Ask them for documentation that it is secured, ask them for packing supplies, ask them for this ask them for that and they will go away!! they are bluffing for their money!!

[familyof7]

If someone wants to keep it and continue to pay for it but not reaffirm they can ,it is an option that keeps you from the fear of reposession and it also protects you from future liability.

[CityGirl]

Dell can send a prepaid box and ask you to put it in the box to be picked up by courier. I'm sure that's an easy way.....dont you think?

[lrprn]

How could any of us take the chance of listing on a legal petition that we will do an affirmation, then not do it or list computers as secured and then not surrender them even though you give the company the impression that you will surrender?

Here's where there may be a misunderstanding....until the debtor signs the reaffirmation papers AND the creditor signs the reaffirmation papers AND files them with the court, there is no reaffirmation.

What most of our filers are saying is that they will be SURRENDERING the Dell electronics - that is a whole different thing than reaffirmation. Surrendering does not require that YOU, the debtor, must drop the stuff off at the creditor's doorstep. Tell Dell to come get it. If they don't, then that's their choice. (And the chances of them coming to get electronics that are more than a year old is so near to zero it isn't even funny.)

please tell me what is needed if a person does want to just work it out with them and keep the computer, warranty and continue to pay?

Any debtor can do this if they wish by asking the creditor for reaffirmation forms, filling them out, and returning them to the creditor. It's up to the creditor to sign them and return them to the court. If you file without a lawyer, then the bankruptcy judge has to approve the reaffirmation before it's considered accepted by the court.

However, what many members have discovered is that if you choose to do nothing and surrender, whether it's Best Buy, Dell, Sears, or any other electronics store, the chances of them coming to get the merchandise is very, very small unless the resale on the items makes it worth the time to pick them up. What they want is your money, not your stuff. They want you to pay, not give back what you bought.

Will Dell come to the meeting and bring the papers for affirmation or will I have to ask them for it?

Dell wil not come to your 341 meeting. If you want to reaffirm, your lawyer can ask them for the reaffirmation papers (although I'm betting that your lawyer is going to try to talk you out of doing it).

Keep in mind that reaffirming a secured asset worth many thousands of $$$ like a car or house is a whole different ballgame than a computer or refrigerator worth pennies on the original dollar the older they get.

Hope this helps explain reaffirmation and surrender when the "secured assets" are not worth very much a little better.

[familyof7]

So why reaffirm if you want to pay then pay but discharge all the debts you can so the debt is discharged. If you dont reaffirm and you continue to pay and you get your discharge and you cant or dont pay anymore you can tell them I give it back and they MOST likely will NOT come and get it and they can not sue you. But if you reaffirm and you cant pay they can sue you. I did not reaffirm my mortgage but i am keeping my house so as long as i pay i keep my house if i dont pay they forclose but they cant put it on my credit as forclosure they cant even sue me I can just walk away owing nothing if I want

[familyof7]

you have either 30 or 45 days from either the 341 or the day you sign the reaffirmation papers to change your mind if you reaffirmed. If you put your intent to reaffirm and you change your mind just ammend the schedule you dont have to reaffirm to keep it. You can ride through as alot of people have with cars for example that is when they dont surrender or retain or reaffirm they simply pay and keep the property. So if in the future you cant pay you can walk away owing nothing. If you reaffirm the debt is not discharged you are still liable in every way.

[6ftladycop]

Technically after reading SOME of the contracts dell has people to sign the debt is not secured eventhough it may seeem as it was. Or you can put your intention to surrender the computer and wait for them to come and get it BUT THEY NEVER DO. Or you can list it as a secured debt but dont list your intention ride it out see what they do from what I understand they do nothing but write it off as discharged in bk

I am having problems with Dell too and I know I wrote down that I would affirm my debt, but after reading all of this stuff about Dell, I am not sure what to do now. One thing I am not going to do is give them back because my children need them so very much, but if they do not work with me(Dell), I will leave them on the bankruptcy paperwork as it is and so be it.

[familyof7]

If you want to reaffirm then ask them to mail you the reaffirmation papers. You can continue to pay on it and not reaffirm. If you do pay and dont reaffirm you keep the computer but in the future you get behind and you cant pay you can simply stop paying and not be liable for anything because the debt was discharged and you did not reaffirm.

[familyof7]

Technically after reading SOME of the contracts dell has people to sign the debt is not secured eventhough it may seeem as it was. Or you can put your intention to surrender the computer and wait for them to come and get it BUT THEY NEVER DO. Or you can list it as a secured debt but dont list your intention ride it out see what they do from what I understand they do nothing but write it off as discharged in bk