Reaffirmation Question?

west2500 · ‎09-11-2010

I am filing Ch 7, but will reaffirm auto loan and worked out modification with mortgage co before filing. How will these continued payments on my mortgage and auto loan be reported to the bureau. I've heard some say it will be reported as IIB. If not will these accounts help get me reestablished.

chasmith · ‎09-12-2010

I think the reporting may depend on the lender.

Most auto lenders definitely mark loans IIB and stop reporting if you do a drive through and don't reaffirm. I've seen people on these boards saying they reaffirmed and still don't get the reporting they deserve.

My lawyer was definitely opposed to reaffirming. His advice was that unless the lender truly renegotiated (gave something in return for the debtor giving the lender a very significant right to be paid that survives BK) one shouldn't reaffirm, which makes me wonder whether you could get a clause about reporting written into the reaffirmation agreement.

BK7 Filed 8/11/2009 Discharged 11/23/2009. Purchased new home 4/11/2012
Starting Score:11/16/2009 EQ 566 11/16/2009 TU 538
Interim Score: 12/27/2012 EQ 683 09/17/2012 EX (lender) 670 1/01/2013 TU 701
Current Score: 11/06/2013 EQ 708 11/06/2013 EX 702 11/16/2013 702 11/06/2013 TU 729
Goal Score: EQ 740 EX 740 TU 740
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ScoreBooster · ‎09-12-2010

@chasmith wrote:
which makes me wonder whether you could get a clause about reporting written into the reaffirmation agreement.

That's exactly what I'm planning. My attorney is going to put in a clause, stating that they continue reporting as before and that no derogatory information my be reported as long as the loan is paid on time. If they agree on that, they might not even be allowed to report "IIB" since this notation actually is derogatory by itself.