New bankruptcy laws

the new law went into effect almost two years ago, And it's harder than before. Most people are placed in to Chapter 13 (you have to prove you need chapter 7 to the court,not a simple choice like it used to be. You also have to go through financial counseling before the case is discharged, fewer exemptions, and raised the minimum payment creditors must require on your bills (even if your not filing, thats why every one's CC payemnts went up 3% last October.

I remembered reading one link explaining about the changes in bankruptcy laws. The laws of filing bankruptcy vary in each state. The most important change is that everyone has to undergo credit counseling before filing bankruptcy. Also, one has to take additional counseling on budgeting and debt management before their debts can be wiped out.

The filers that come under high income group cannot file for chapter 7, they will have to pay some portion of their debt through chapter 13. Finding attorneys sounds tougher these days after the new laws imposed and the need of these attorneys also grew up considerably. See this link for some explanation about the process.

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