New bankruptcy law will help restore balance 
The BAPCP Act is designed to make it more difficult for those who can afford other options and who may have to pay more than hoped. Here are some of the changes and how they may affect you:
During the 180-day period before filing for bankruptcy you must have been briefed by an approved nonprofit budget and credit counseling agency. The agency must provide information that outlines the availability of credit counseling and perform a budget analysis for you. If you can't afford to pay for the service, it will be free.
To qualify for Chapter 7 -- often referred to as a fresh start or a clean slate or wiping out your debts -- your income will now have to be below the median income for the same size family in your state or you will have to undergo a bankruptcy means test. The means test is complex and fairly rigid when it comes to expenses. As an example, a person is allowed $1,500 per year per child under age 18 for private education expenses regardless of the actual expense. (yep that seems balanced to me )
If your income is greater than the median income for the same size family in your state and you can pay at least $6,000 over five years or $100 a month, you will be required to file under Chapter 13 -- where you must repay at least a portion of your debts. (yep that seems balanced to me )
You will be required to pay the full amount owed on your car loan regardless of the condition of the car as opposed to paying only what your car is worth under the current bill. (yep that seems balanced to me )
Bankruptcy attorneys must certify their clients' financial statements to the court and will be held financially responsible if the statements are false. Due to this change, many bankruptcy attorneys may charge more for their services. (yep that seems balanced to me )
The filing fee has increased from $155 to $200 for Chapter 7, but decreased from $155 to $150 for Chapter 13. (yep that seems balanced to me )
The BAPCP Act is designed to make it more difficult for those who can afford other options and who may have to pay more than hoped. Here are some of the changes and how they may affect you:
During the 180-day period before filing for bankruptcy you must have been briefed by an approved nonprofit budget and credit counseling agency. The agency must provide information that outlines the availability of credit counseling and perform a budget analysis for you. If you can't afford to pay for the service, it will be free.
To qualify for Chapter 7 -- often referred to as a fresh start or a clean slate or wiping out your debts -- your income will now have to be below the median income for the same size family in your state or you will have to undergo a bankruptcy means test. The means test is complex and fairly rigid when it comes to expenses. As an example, a person is allowed $1,500 per year per child under age 18 for private education expenses regardless of the actual expense. (yep that seems balanced to me
)If your income is greater than the median income for the same size family in your state and you can pay at least $6,000 over five years or $100 a month, you will be required to file under Chapter 13 -- where you must repay at least a portion of your debts. (yep that seems balanced to me
)You will be required to pay the full amount owed on your car loan regardless of the condition of the car as opposed to paying only what your car is worth under the current bill. (yep that seems balanced to me
)Bankruptcy attorneys must certify their clients' financial statements to the court and will be held financially responsible if the statements are false. Due to this change, many bankruptcy attorneys may charge more for their services. (yep that seems balanced to me
)The filing fee has increased from $155 to $200 for Chapter 7, but decreased from $155 to $150 for Chapter 13. (yep that seems balanced to me
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