Upside Down Car Problem

[dday0928]

I went through Chpt. 7 over a year ago and at the time I wanted to keep my Car (2005 Cobalt). I never signed anything saying that I was reaffirming the debt but for the last year I have been making payments as usual. I just checked my credit report and the car is showing up as a negative item and it says that it was discharged. I am really upside down on this loan and I really tired of having monthly car payments. I pay 300 a month, payoff date is 2011, amount due is 11K, and KBB shows it as 4500 because of the 109K miles. What are my options since the debt was never reaffirmed???

[JRScott]

If you never signed a reaffirmation agreement you could return the car to the lender.

even if you keep making payments vehicles and such will show IIB.

[b_girl]

It's showing as a negative on your credit report because you discharged that loan in the BK when you didn't sign a re-aff. That means that technically, you don't owe on it...however, if you wanted to keep the vehicle, you had to make the payments. Now that you don't want to keep the vehicle, you can stop paying without fear that they will come after you...you are free to just give it back them.