New Bankruptcy Law Promotes Consumer Responsibility

For_Immediate_Release:

June 1, 2005, West Palm Beach, Fl. — An opinion poll found that a majority of Americans think it is acceptable to have outstanding debt- credit cards, cell phones and utility bills for example- and that they do not have to pay it back.
With the new bankruptcy legislation taking effect on October 17, 2005 more responsibility will be placed on the consumer to pay back his or her debt instead of filing bankruptcy.
“The number of personal bankruptcies has surged during the past decade,” said Charlie Fetscher, chief operating officer of Credit Card Management Services, Inc. “This law will discourage frivolous, repetitive and even deliberate bankruptcies, which everyone pays for in higher fees and higher interest rates.”
An April 2005 public opinion poll conducted by KRC Research for the Association of Credit and Collection Professionals International showed that 72 percent of Americans think that over the past decade it has become more acceptable for consumers to not pay their debt.
The new legislation requires consumers to attend credit counseling and to meet certain income criteria, which is based on their state’s average income, before they can file for bankruptcy.
“People struggling with suffocating debt because of a lost job, severe medical expenses or some other personal crisis will have all the traditional protections of the courts to get a fresh start,” Fetscher said.
Credit Card Management Services, Inc is a nonprofit organization dedicated to providing compassionate, professional debt management counseling and education. For more information visit www.debthelper.com or call 1-800-920-2262

The new legislation requires consumers to attend credit counseling and to meet certain income criteria, which is based on their state’s average income, before they can file for bankruptcy.


that's an awesome way of doing it

how does it work for businesses? or do they get a pass because the people that made the laws, but didnt ask us what we wanted own their own businesses along with their friends?

why on earth limit it by income anyways. its absurd.

Didn't recognize the new avatar BK, CUTE!!!! Stick it to em huh!!!!

I guess the new law about the income is because they feel that somebody that makes $200,000 a year, shouldn't be claiming bankruptcy....... that they primarly need to change their way of life.....
Just as the rest of us need to change our ways of spending beyond our means if that was the reason we filed BK.....
Medical disasters, job loss, etc would also put someone of a higher income into the same catagory as one of us...........beyond their control....

:D

yeah notice how he is wearing a pretty scruffy shirt and pants. looks poor eh? probably did that so the trustee didnt think he could get anywhere with him.

What the government should do is make it so people do not get ripped off by credit card companies with their outrageous interest rates.. Consumer responsbility is important but so is fair play from the lenders.. They slyly set their banks up to put people in a bind so they pay way more than what is deserved. The Government should act as fairly for the people as it does for the big business banks!

Redeagle...................

When You Dream You Dream Big Don't You????

What the government should do is make it so people do not get ripped off by credit card companies with their outrageous interest rates.. Consumer responsbility is important but so is fair play from the lenders.. They slyly set their banks up to put people in a bind so they pay way more than what is deserved. The Government should act as fairly for the people as it does for the big business banks!


Easier said then done. Congess voted on this several years ago to cap credit card interest rates & fees and every major bank stock went down. Wall street was sending congress a message not to do this so they of course threw in the towel.

I do agree with you though that something must be done.

My BK has nothing to do with overspending, ect. I bought a house in GA, and it fell down. This is the absolute truth. I was pulling out of my drive on a Sat morning and noticed bricks laying in my front yard. I looked up and the front porch as barely hanging on the house. This house was 3 years old. I contacted an atty in GA. I was told that there is no consumer protection for the homeowner in GA. There is no licensing for homebuilding either. I contacted everyone including Sonny Perdue's office. Told same thing everywhere. No protection. I used my 401k and credit card advances to rebrick house. Found out whomever bricked the house the first time did not do it right. DUH! It could never have been detected. Had a home inspector when house was purchased. They cannot see under the bricks! Homebuilder had used 2 by 4's to hold the porch up. There is no way it could have held. Luckily no one was killed. This has ruined my life, and husband had a heart attack and lost his job soon after. I am sick of all this crap that Americans spend themselves into financial ruin. Bullsh*t!!

Debtisbad,

I feel so sorry for your problems. It makes me grateful that I never purchased a house. I got into a lease purchase where I am currently and have lived here long enough to know that I would never want to buy this house. True, I am out quite a bit of money for repairs to this place based on the terms of my contract, but at least I won't be out of money for the next 30 years when the plumbing finally goes and the furnace explodes and I am moving in June so I don't have to face another year of 500-dollar power bills in the dead of winter. I can totally understand your wrath and I have some of my own though much smaller scale than what you have faced. In any case, I feel for you and I hope you manage to find some answer to your problems soon. That's the kind of stuff that puts folks right over the edge.

We are (I think I can speak for everyone here) in your corner. Vent all you want.

What the government should do is make it so people do not get ripped off by credit card companies with their outrageous interest rates.. Consumer responsbility is important but so is fair play from the lenders.. They slyly set their banks up to put people in a bind so they pay way more than what is deserved. The Government should act as fairly for the people as it does for the big business banks!


Well, you could go as far as to ask why we have to pay over and over for a house that has probably been paid on for so long that it should be made of gold! A house that was built in the 1900's has been paid off many, many times....But, yet the new buyer will have to pay thousands more than what it originaly cost to build it in the first place!

I heard that minimum wage is supposed to FINALLY go up to over $6 an hour, but that is to take a year or two....(can't remember the details). I was a server for many years. (Actually, I made this same hourly wage 20 years ago and still made this same wage recently) I was paid $2.13 an hour and had to rely on tips to make up the difference of what minimum wage is/was at $5.15 an hour. What will happen when they raise min wage? Will those who have to rely on tips get paid more an hour?? Now, yes you can make the difference an hour, but there are MANY MANY days that the rest was not busy and I wouldn't make enough to even pay the sitter. :aggress: Really scary when a gallon of gas costs more than what you make an hour! Gallon of milk is more....loaf of bread is more....And there are people out there who just don't tip! :aggress:

There are so many things that the gov't needs to be responsible for and take the initiative to change to help out those who are financially supporting them!

What happened to the taxes being stopped after the war was over? The taxes was solely used to fund the war and that was it! But, here we are....we are taxed on our pay we make an hour...we are taxed on our purchases....we are taxed because of where we live and the size of house we live in and the amount of land we take up....we are taxed for kids that we may or may not have, to go to school (and this is a public school that is funded by the gov't).....we are taxed if we want to have a cigarette because this is a luxury.

Gosh, here I go again getting on my soap box!! My apologies!! :)

most people in america do not declare bankruptty to dodge away their debts... they're doing it coz of loss of spouse/huge medical bill/loss of job

For_Immediate_Release:

June 1, 2005, West Palm Beach, Fl. — An opinion poll found that a majority of Americans think it is acceptable to have outstanding debt- credit cards, cell phones and utility bills for example- and that they do not have to pay it back.


Somehow, I question the validity of this study. Let me see the actual poll questions and percentages. Let's separate the types of debt--someone's feelings about a high medical bill due to being uninsured compared to buying a stereo system at an electronics store on credit shouldn't be lumped together. This just seems like too simplistic of an answer to a complex issue.