After ch 7, do reaffirmations appear on credit?
I received a letter in the mail from a lender wanting my business stating "Once a bankruptcy is filed all open lines of credit including but not limited to AUTOMOTIVE loans stop reporting to the 3 major credit bureaus. This means that if an auto loan is carried through a bankruptcy it is no longer being reported that payments are being made every month, however the payments made do, in fact lower the balance but are just not reported."
I did reaffirm my car loan in my bankruptcy. Is there any truth to the above quoted statement?
The letter came from Bankruptcy Resource Group Inc., from Tigard, OR. Just thought someone might know this company.
I know them!!!!! I don't know what they are talking about, but
I know them!!!!! I don't know what they are talking about, but they are very near to where I live and I drive past them every day to go to work.
Frankly, they are a tiny tiny little office in a rundown building. When I was looking at filing BK, I thought of stopping in there, but I couldn't even find the door. I just see the sign for them.
I would not think that was true though. You can always call your auto loan company, and ask them if they are still reporting. I would think that if you reaffirmed the debt, the BK wouldn't matter.
Bankrupt...
Hello, im so behind on my car and when you said reaffirm your car-what exactly did that do for you.. I need help and I'm thinking about filing bankrupt but Ive never bout a house or anything big.
To ch.jermonique Reaffirm basically means I agreed to contin
To ch.jermonique
Reaffirm basically means I agreed to continue paying my car note after the bankruptcy. I did not want to lose my car in the bankruptcy. For my specific situation, I felt I could afford to continue paying the car note after wiping out all my other debts. Of course, this is with the advice of my attorney. I had to sign a "reaffirmation agreement" with my creditor for my car note. My attorney worked out the details of the agreement directly with the creditor.
You stated you are behind on your car note. I would think IF a bankruptcy is for you, wiping out your other debts might free up enough money to pay the car note. Only an attorney can advise you properly. Certain details of a bankruptcy might be different depending on the state you live in(such as what can be exempt-home, car, non-luxury items such as clothing). Regardless of what might be "exempt", everything is still up for grabs. You still MUST report all assets in a bankruptcy. A trustee decides what you keep and what is sold to payoff your debts. In my case, my trustee did not require me to sell any of my assets(which were pretty much nothing).An attorney can advise you if bankruptcy is for you, and which to file-Chapter 7 or Chapter 13. I must strongly suggest to you to only consider bankruptcy as a last resort. Once you file for bankruptcy, it will appear on your credit report for the next 10 years.
If you decide to consider bankruptcy, keep in mind most bankruptcy attorneys offer your first meeting/consultation free. I would check your area to see if this is true for your area.
Also consider how you must pay your attorney depending on which way you file. In Chapter 7, you don't pay back any debts, and you must pay your attorney upfront. In Chapter 13, you agree to pay back some debts, and you pay your attorney in a monthly note with the debts you agree to pay back.
I hope this helps.
To goudah2424 I appreciate the info. It sounds to me thes
To goudah2424
I appreciate the info. It sounds to me these guys are a little fishy at best. Unfortunately, I'm still not sure if it's true my creditor stops reporting my payments. I guess the best thing to do is get a credit report and see if my latest payments show up. Thanks again for the info.
No problem - And again, the easiest way to find out may be to ca
No problem - And again, the easiest way to find out may be to call teh creditor and ask. If they don't for some reason, you can always request that they start up the reporting again.