Expert: Terry Leeders - 7/1/2008

Question
I filed for chapter 7 bankruptcy and it was discharged on june 16, 2008.  We signed a reaffirmation agreement on my husbands vehicle, but we have since decided now since the credit union it is financed with says we are 5 months behind.  Can we reopen our case and file this creditor on the bankruptcy even if we signed a reaffirmation agreement?  Or the credit union says if we let the vehicle get repossed that they would garnish our wages and assets, can we reopen the case and put them down for the difference in the vehicle that they sale it for compared to what we owe?  What do your suggest?  also we are in the state of georgia.
thanks

Answer
You have the right to rescind (Cancel) a reaffirmation agreement within 60 days after you sign it, or the date of discharge, whichever is later.  You need to send the rescision to the creditor, their attorney/registered agent, and a copy should be filed with the bankruptcy court.  You do not have to reopen the case.  If it is beyond 60 days, then unfortunately, it is too late.  You will be on the hook for the payments.  If you surrender it, they will auction it, but you will be responsible for any remaining balance owed.