Auto loan with State Farm Bank???

[Woah]

Our only auto loan is with State Farm Bank and we just got paperwork from our attorney suggesting we reaffirm. He has even signed the paperwork. I was wondering if anyone here has had any experience with them and if I could just do a "ride through"? I'd really rather just do that after all I've read here.

We got into this car pretty good and don't forsee having the means to go get another decent family car anytime soon. Add to that the fact that we are moving to the middle of nowhere and I'd like to keep my cheap $167/mo and dependable family vehicle.

Aren't there some lenders who won't let you keep the vehicle unless you reaffirm? I think I've seen Ford mentioned. Since this is a relatively small bank I was wondering if it was more likely to get repossessed if I didn't reaffirm.

Any input would be appreciated.

[magyar123]

What was your attorney's reasoning for reaffirming?

[StartingOver08]

I am probably going against the grain here...but if you have a very low payment (and you do at $167/mth) and you have a dependable vehicle and you have already worked out your new budget (assumption here) - why would you not reaffirm?

Seems to me that the cards are in your favor if you reaffirm on a good loan with good collateral and only if you can afford it in your new budget.

If the loan is onerous or the collateral iffy - then surrender the vehicle or try a ride through where it does not matter if the creditor comes to pick up the vehicle.

[Woah]

Magyar123, he just sent a letter stating he believed we had wanted to keep the vehicle and reaffirm it. He does explain in the letter about the debt not being discharged if I reaffirm and so on. (which I would not know anything about if not for this forum)

Of course I'd like to be in the position to ride through. From all I've read here it is the best option for me....as long as they let me keep the car. I was hoping someone here had some experience with SFB.

The reaffirmation doc. keeps our interest rate of 8.5 and the low payment. Of course if the engine blows up I won't have the option of just giving it back, but I don't forsee getting that kind of deal after bankruptcy.

Startingover08, I am leaning toward reaffirm, if I don't find out that SFB allows ride through. As far as our budget goes, I work in real estate on a per assignment baisis and have not even been meeting my expenses of daycare, supplies and memberships needed. DH is self employed in the auto industry and that isn't very good right now either. The budget has become a wing and a prayer. The car would be our only debt though.

Thank you both for your imput.

[jessegirl]

I didn't reaffirm my lease agreement and I am still paying it every month and nothing has been said yet.

[Woah]

Jessegirl, was the lease thru state farm bank? If so, how long has it been since your discharge? Thanks for responding. Mine is a loan and not a lease, I don't know if it makes a difference.