Explain the bankruptcy bill

[Neoma]

Is it where you cannot file for bankruptcy or its harder...
what?

[Systematic Chaos]

1. Oh, you can file, BUT

Chapter 7 will no longer be an option for individuals. Chapter 7 is the type of bankruptcy in which all debts are absolved (barring stuff such as student loans which can't be declared at all) and you get a fresh start after 7 years.

People will be limited to the kinds of bankruptcy which are really no more than a payoff plan based on what you make vs. your expenses. Really not a whole lot different from a debt consolidation, only in this case it's handled in the courts and not a non-profit organization.

In other words, you're almost better off saving the money for filing in extreme circumstances and telling your creditors to kiss your ass, and then job hop until they get sick of trying to track you down. :(

[punpirate]

2. Overview here:

http://www.consumerlaw.org/initiatives/bankruptcy/content/KeyProblemswithS256.p

Cheers.

[Neoma]

3. link did not work

[punpirate]

5. It's a pdf...

... go to the main site's page for bankruptcy:

http://www.nclc.org/initiatives/bankruptcy/

Have a look around there. Some of the articles refer back to the legislation entered in 1999. Look at the FAQ, though, for basic information.

[hickman1937]

4. If your wealthy, your fine. If not, your fucked.

This one has been on the horizon since bash got selected in 2000. Cut up your credit cards, and pay them off(I'm getting a second job), pay off your loans and never again buy anything on credit. It's a whole new world, and I'm getting their hands out of my pocket now.

[radfringe]

6. It's un-patriotic to file for bankruptcy

"The short answer is fairness," declared Sen. Orrin Hatch, R-Utah. "Those who can pay their bills should pay their bills. That's the American way."
http://story.news.yahoo.com/news?tmpl=story&cid=536&ncid=536&e=2&u=/ap/20050310/ap_on_go_co/bankruptcy

except if you are Enron, Worldcom, Adelphia et al. and have a few republicans in your pocket -- then it's ok to file bankruptcy because it's good for business