I've read many different things on here concerning reaffirmation and car leases and statement of intention and I want to know what is wrong and what is right. On the one hand, I've read that I only need to continue making payments to keep my car lease during and after bankruptcy and that nothing will happen. But I've also read that I should send the lienholder of my lease a reaffirmation agreement or a copy of my Statement of Intention stating that I will continue to make payments...so does that mean I have to fill out a Statement of Intention or reaffirmation agreement or no? I am so confused. Please help! I'm in Ohio.
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Sorry I dont know about leases but I reaffirmed both of our cars and our house. We were sent a reaffirmation agreement from one bank prior to our 341 and the other one showed up at the 341 and had us signed it. We never got anything officially from our mortgage company but we are keeping the house and making payments. I would call the company and/or ask your attorney. -
I don't know if this will clear up your confusion, but here goes...
Leases are "Executory Contracts", and thus get listed on that Schedule G in the standard petition packet. You don't own the car (i.e. its not an Asset) and the liability (the lease) is not a loan, hence you don't reaffirm the debt (because strictly speaking, there is not debt).
Generally, with auto leases, there is nothing you need to do. I suppose if the lease company sends you something regarding the lease, you should probably sign it so long as it doesn't alter the terms of the original lease. What happens with leases is that they become part of the Bankruptcy Estate and the trustee has the right to assume or reject the lease, 99% of the time, the trustee will reject the lease, and thereby it reverts to you.
Long and short of it, just keep making the payments if you want to continue to keep the car.Comment
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