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Posted: Sat Sep 24, 2005 2:16 am Subject: An overview of the new bankruptcy laws

According to a poll held, many of us don't have problems in keeping outstanding debt. Credit card defaults are on the rise. They leave the bills of the cell phones and utilities unattended which keeps on rising higher.

So far it was quite possible to do so, but now with the new bankruptcy legislation getting into effect from October 17, 2005, it will be tougher to escape debt. Filing for bankruptcy will not be an easy option.

Comparing the number of bankruptcies filed in the past decades, it has definitely surged largely and the new laws will discourage easier perhaps, frivolous and deliberate attempts of filing it.

An opinion poll was conducted by the KRC Research for the Association of Credit and Collection Professionals International. The study revealed that a majority of the people have widely accepted not to pay their debt.

Due to the new laws coming into effect, the consumers will be required to pay the debt. credit counseling will be bliss to such situations considering the income criteria. Bankruptcy can only be possible under the new laws if their income level is below the state's average income.

However, the new laws will not hurt those people who have lost their jobs, or are having several medical expenses or some other personal crisis. These people will have all the traditional protections of the courts so that they can start afresh.

lady in nebraska · Posted: Sat Sep 24, 2005 7:20 am Subject: should I file

am a single mom of two kids 15 and 12.My job close up in Dec.2004 and my employment run out and I will be starting my new job September 26 of this year only 9.00 dollars an hr. and I owes medicals bill that is about 9,000 and a reprossed car that I owe 5,000 will the new law affect me if I file bankruptcy after Oct.17? thanks for your help

Posted: Sun Sep 25, 2005 1:04 am Subject:

I am too young to file bankruptcy but was wondering if I did would that mess my credit up?I don't know if it is a good choice to do does anyone know if I do what could be the consiquences? Sad

Posted: Mon Sep 26, 2005 3:11 pm Subject:

Hi ch,

At this young age, you should not think of filing a bankruptcy. Read this page so that you can completely steer yourself from this direction.

http://www.debtconsolidationcare.com/avoid-bankruptcy.html

Regards
Roxette

Posted: Mon Sep 26, 2005 3:15 pm Subject:

lady in nebraska

I have placed the link in the post to CH where I have expressed my desire of not filing bankruptcy.

However, if this does not change your decision, you can visit the bankruptcy court and consult your lawyer before you file for it.

If you have any queries regarding it, I will appreciate offering any help.

Regards
Roxette

Posted: Fri Oct 14, 2005 11:07 am Subject:

Just to clarify Ben..the laws are changing for bankruptcy but debt consolidation is still an option after the laws change? And the process of debt consolidation is still the same?

Posted: Fri Oct 14, 2005 12:52 pm Subject:

MsMistchf, only the laws for bankruptcy are changing without putting any effect on the consolidation programs. Now the filing of bankruptcy will be more difficult and people will have to mostly consider enrolling for credit counseling. Discussions on budgeting and debt management are also very important before the debts are reduced through the programs.

The other important thing that will happen with this change of law is that since new impositions will be put into effect, bankruptcy lawyers will be very hard to find.

Posted: Fri Oct 14, 2005 5:34 pm Subject:

Thanks Ben..I was being told all kinds of different things from the settlement companies but the consolidation companies seem to be more stable and giving the same information as you are.

Posted: Wed Oct 19, 2005 11:01 am Subject:

Bankruptcy is the last resort...honestly get the most advice from this forum and not from people trying to be hired by you.

GOOD LUCK Wink

Posted: Wed Nov 02, 2005 3:17 pm Subject: QUESTION ABOUT NEW BK LAW......

Now, for those who didn't file before the new law was passed say for myself.... what would be the benefit of filing now??

Now here's the scenario.... about $10,000 or less in debt/collections/charge offs/etc. what would be the benefits of filing?
I am a loan officer as well so I would also let certain customers know as well. Thanks.

Posted: Wed Nov 02, 2005 4:15 pm Subject:

Jessking, you will have to take counseling and determine if you can make the monthly payments. If not, you will have to take a means test. If you can qualify in it, you will be granted bankruptcy. A detailed explanation has been given in this page.

http://www.debtconsolidationcare.com/forums/bankruptcy-reform.html

tvmango · Posted: Thu Nov 03, 2005 3:18 pm Subject:

I met with a lawyer about bankruptcy today, and it's harder but not impossible.. If you really have a ton of debt and aren't making alot, the court will grant you,, but for the people who do it to wipe away there debt cause they don't feel like paying it, well it won't happen anymore.. I think it's a good thing.. Also I will get counceling so I don't do it again.. If you really have to,, look into it,, but for the people on here crying about 10000$$ in debt,, come on people,, you should go through a website like this to get help.. I was told it will cost me a few thousand dollars now to claim bankruptcy,to pay for pre counceling, then court and ten post counceling... which realy stinks , but it's my fault, so I just have to deal with it..

Posted: Thu Nov 03, 2005 4:40 pm Subject:

Bankruptcy laws have been redefined because the country had been going through extreme loss due to the number of applicants.

It's always better to pay off the past debt, be it through professional help only if not on its own, instead of tarnishing the credit file for the next 10 years.

Posted: Fri Nov 04, 2005 10:56 am Subject:

A lot of people were telling me to just file bankruptcy and with me it was just a moral thing. I mean I know some people that may be the best thing, but for me I would feel guilty doing that because I feel as though I bought all that stuff on my credit card and yeah it got out of hand, but I do want to pay it all back and take responsibility for what I did when I was younger.

I mean it is one thing if you had a serious illness and all your medical bills put you in ridiculous debt and you filed bankruptcy, but I feel since I bought basically gas, clothes, beer and decor for my apartment that I am responsible for that.

I don't know that is just how I feel.

Posted: Fri Nov 04, 2005 12:14 pm Subject:

If there is past bill unpaid, it is our moral duty to pay it. We should not escape from our responsibilities. It is all about some discipline in our life. We need to respect ourselves first so that we can earn respect from others. Guess, nobody likes to go through all the insulting words from the CA's and the creditors.

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