Car Loan thru bankrupcy / divorce

[Johnlaurajake]

State is Ohio

My husband and I split up last year. Though we filed bankrupcy together (chapter 7) and after our discharge we are getting our divorce. (He now lives out of state but was a resident when we filed)

We each have a car (Really our only assets we let the house go in the chapter 7) and mine is pretty new so I did a 722 Redemption loan. During the process I had his name removed and the car/loan is just in mine.

He got reaffirmation paperwork for his truck / older/ high miles. The lawyer advised him to get caught up on the payments and NOT sign the raffirmation. Though even last month at the time he was behind at least a month.

Are there any options if he does reaffirm to take my name off, I don't want his lack of responsibility to again affect me. I have many plans after discharge to rebuild and I'm afraid of the effects of continued negative marks on his car.

If anyone has similiar experience / ideas I'd appreciate them.
(Btw...we are going to do a divorce ourselves/by paying a lawfirm to draw the paperwork with only me going to court, because of his residency)

Thanks

 

[Ladynred]

Unfortunately there aren't many options. He would have to refinance the vehicle to get your name off the loan. It MAY be possible to negotiate the reaff to have your name taken off of it, but you'd best ask your lawyer if that could be done.

 

[Johnlaurajake]

something just occured to me...am I crazy?

I am probably crazy, but.....

This just popped in..

The car was included in the bankrupcy. He is NOT going to reaffirm. He's just going to try to make late payments.

Will the late payments count against me in the future. SInce it was in the bankrupcy it is in the discharge. Now the car company is supposed to take it or reaffirm it to count it against us.

If he makes or doesn't make the payments it shouldn't count on my credit right??? Since it's Included they can't keep reporting negative on it. Or does paying it constitute as some sort of voluntary reaffirmation.

 

[Ladynred]

If he does not reaffirm, then the debt gets discharged and neither of you will have any liability for the loan. You are correct, they would NOT be allowed to report ANY negatives on your reports for a discharged debt.

 

[LostinMI]

I am in a very similar situation..... was told by lawyer if either of us chose to re-affirm (home or vehicle), then it only affects the person who re-affirms the loan. So, you should be off the hook either way. If he doesn't reaffirm, then the debt is discharged in BK (he must continue to pay to continue to keep vehicle); if he does re-affirm then it will be reflected on his credit report only.