I have vehicles that are financed with dragnet clauses where I have other loans that will be discharged in a chapter 7. The vehicles have zero equity (or negative equity). Is it possible to reaffirm the vehicle loans while still discharging the other loans? Is it possible to simply pay off the vehicle loans to get the vehicle free and clear or would the dragnet clause get me then for sure? Logically I would think the banks would rather let me buy the cars from them and cancel the loans rather than having to sell the cars themselves (for less money) but things don't always work logically...
If by a "dragnet clause" you mean a cross-collateralization agreement, where collateral for one loan is collateral for all loans, what you propose might not work (and the lender might not allow it). Speak with your lawyer for more details about how things work in your state.
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