Legal Question in Bankruptcy in Indiana

Re: Reaffirmations

It depends on the value of the item, what it was, etc.

If you bought a car, still owed money on it and then gave it to someone else, then the loan won't go away while someone else gets to keep the car.

If it were something smaller, then it might not be worth it for the company to fight for the item to be returned.

Sure, they'll ask you to reaffirm, but if it's not worth a lot of money and push comes to shove, they'll probably just write it off.

Sorry that I couldn't be more specific with you on the limited facts you presented.

Re: Reaffirmations

In a Chapter 7 bankruptcy, the secured creditor can sue you to deny you your discharge for conversion (selling the collateral without their consent and keeping the proceeds) This means they would obtain a judgement for the value of what was sold and this would not be discharged in your bankruptcy.

The value of what was sold is a factual issue-dont reaffirm for the full balance if you received less for the collateral. Usually, you and the creditor can reach an agreement on an amount for you to repay, which would survive your bankruptcy.

If you filed a chapter 13, the entire debt is dischargeable.

Keep in mind that if their collateral is titled, or they perfected a lien on it, they may be able to repossess it from whoever you gave or sold it

to.

Consult your bankruptcy atty-he or she will know how to deal with the creditor