Especially since the statement became much more complicated and unpredictable in 2005, thanks to Congress and bankruptcy reform. Yes, the passage option has been available to debtors for many years. But then, in 2005, Congress passed a major amendment to the bankruptcy law. Its impact on affirmation agreements in California was then in the air for a while. But in May 2009, the Ninth District Court of Appeals, which essentially decides such matters for most of the western part of the country, ruled that the 2005 amendments no longer gave debtors the option of passage. (See the opinion of the Ninth Circle, In re Dumont.) Prior to this Decision and any modification, debtors were allowed to keep their vehicles without signing a repeatability agreement. That`s why they want you to do it again. Since the confirmation agreement is signed after the declaration of insolvency, it is a new debt obligation and is not discharged by the declaration of insolvency. In general, Ford Motor has taken the position that if you do not confirm your vehicle, they will regain possession of your vehicle, even if you are up to date with payments. (3) Receive, verify, complete and sign the confirmation agreement, then return it to the lender. You must sign your confirmation agreement within 45 days of your meeting of creditors and deliver it to the lender.

If you don`t, the lender can repossess the vehicle, even without first asking for permission from the court or notifying you beforehand. In particular, a “confirmation” of a debt is if you formally renounce to deleverage that debt. In other words, you explain to the court that you will be on the hook for this debt, no matter what happens in the future. Alan, I agree. Then there`s the situation where some mortgagees like Chase are simply not going to prepare a confirming agreement. Thank you, Shawn Wright A confirming agreement is a document you sign that “confirms” your commitment to repay the loan related to the agreement. Some lenders may request this agreement as a result of your application for insolvency. If you go bankrupt, if you receive relief, the discharge ends your personal responsibility for repaying that debt. If you decide to confirm a mortgage or car loan, the judge wants to know that you understand what you want to do. However, the judge rejects a high percentage of requests for reconfirmization.

What for? Because she says there is no need to reconsert a loan to keep the house or car in question. Sometimes the lender will lower the interest rate or extend payments as part of the confirmation. My opinion on confirming agreements is that I don`t encourage customers to confirm auto credit, but I`m not so worried that mortgages will be confirmed again. What for? Please remember that I am writing this in Pennsylvania bankruptcy attorney, and people in other states have different laws and practices.