Should we do voulntary repo or not?

We are in Maine.

Filed bankruptcy (chap 7) jointly, discharged June 18.

Car loan through Household Automotive was supposed to be reaffirmed, they screwed up something and it wasn't.

We still have the car, but are very uneasy with the situation since they cannot send us bills, statements, etc. We are told we still have a loan, but cannot be sent verification of it.

Our choices appear to be 1)keep car, keep making payments and worry, 2)trade it in, which would make payments on a new car much higher as we owe more on it than it's worth already or 3) voluntary repo.

Lawyer suggests voluntary repo. We want to buy a house within the next year or so... would a voluntary repo hurt or would it be understandable under the circumstances?

Thanks!

I'm not a lawyer and I don't know much about the law but my fiancee and I have recently gone through almost the same thing. He had a car that he was leasing and on the contract he signed with the financing agency there was a clause that allowed early termination of the lease with some small fees. We got a lawyer to get the financing company to agree to comply with thier contract but they changed thier mind and the lawyer suggested that we let them take the car. He told us not to voluntarily give the car up but not to stop them from taking it. So we followed his advice and now my fiancee is getting the repo. taken off of his credit report due to the finance agency not complying with there contract. We have been told that we will be able to buy a house with a repo. but we will be penalized with high intrest.
We were told though that if he claimed bankrupcy it would be very hard for us to get a house any time soon. I hope this gave you a little help. Grapeape

[Edited by grapeape79 on 07-14-2001 at 03:06 PM]