Legal Question in Bankruptcy in Florida

reaffirmation of car loan

In a chapter 7 bankruptcy if a reaffirmation letter is not signed on a car loan but the debtor continues to make the payments and does not miss any payments or pay late can the creditor legally repossess the car because a bankruptcy has been filed?


Asked on 12/30/03, 1:15 pm

1 Answer from Attorneys
Alexander M. Rosenfeld Rosenfeld & Stein, P.A.

Re: reaffirmation of car loan

Payments made by the debtor, without a Court approved re-affirmation agreement constitute preferential payments that are recoverable by the Trustee. The creditor is acting wrongly in accepting the payments without court approval. To repo the car , the creditor will need to get relief from the automatic stay.

The foregoing is not intended as legal advise but merely an opinion based on your question. No attorney- client relationship exists or maybe deemed to exist because of this reply. It is urged that you seek competent legal counsel.

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Answered on 1/02/04, 2:06 pm


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