Personal Bankruptcy chapter 7

[ricardo2011]

Q: Who's job is it to reaffirm a loan if you file chapter 7 bankruptcy? Does the lawyer have to file a reaffirmation with the debtor or does the debtor have to one once the case has been filed with the courts? Either way shouldn't the lawyer advise you of such a thing? Case in point my friend filed for chapter 7 but advised his lawyer he wanted to keep the car. After the bankruptcy was done they came and picked up his car because "his lawyer did not reaffirm the car note". The lawyer says it's the bank who has the loan that is at fault because they had to reaffirm the loan. PLEASE TELL ME WHO IS AT FAULT.

 

[army judge]

The lawyer is somewhat correct.
The debtor is required to tell the lawyer what debts he or she wishes reaffirmed.
A creditor can offer you the option to reaffirm a debt.
Creditors don't have to reaffirm a debt, especially secured creditors.
It could be foolish not to offer reaffirmation.
That, however, is up to the creditor, not the debtor.
However, they are not required to do so.
Ask the lawyer why he/she won't assist the client in fixing the problem?