CAR Loan w/gmac

[Gisela Bousquet]

What is the name of your state?

NJ

I recently filed Chapter 7 and had requested for my car loan with GMAC to be reaffirmed...my hearing with the creditors is filed for January..but my question to you is..I recently requested my credit report and was surprised to see that my car loan with GMAC is being declared on my bankruptcy case...when I have always paid on time and never been late...Gmac has advsd me they are allowed to this to protect themselves..so I ask why if they are declaring a 0 balance..do I continue to pay them every month??

[Indiana Filer]

Originally Posted by Gisela Bousquet

What is the name of your state?

NJ

I recently filed Chapter 7 and had requested for my car loan with GMAC to be reaffirmed...my hearing with the creditors is filed for January..but my question to you is..I recently requested my credit report and was surprised to see that my car loan with GMAC is being declared on my bankruptcy case...when I have always paid on time and never been late...Gmac has advsd me they are allowed to this to protect themselves..so I ask why if they are declaring a 0 balance..do I continue to pay them every month??

Because if you don't pay them, they will come get the car and sell it. If they want to do this before your case is discharged, they would need to get a release from stay from the court. If they wait until the case is discharged, they can just come and get the car.

If you want to keep the car, keep paying.

[Ladynred]

They are reporting accurately, the debt IS included in your bankruptcy and even though you're paying and want to reaffirm, they write off the debt as a loss anyway. Its fairly standard procedure - for them it IS 'protection'. Unfortunately, you want to do the 'right thing' and keep paying but its not going to do your credit the least bit of good - no payments will ever be reported positively.

As already stated, if you want to keep the car, ya gotta keep up the payments.