Why the New Bankruptcy Law?
Credit card companies are at the core of the new law and they pushed hard for its passage. In doing so, they’ve locked most consumers into their debt by forcing a payment plan to amortize the obligation rather than erasing it. In a perfect world debtors would and should pay for their purchases. However, certain hardships can challenge an individual’s ability to throw those standards out the window. Over 1 million people annually turn to bankruptcy because of the debt burden arising out of job loss, dire straits, divorce or an illness that impairs their ability to service that debt. In fact, it is during stressful times as described that borrowers would lean more heavily on their credit than ever before. In light of the new law, it is of primary importance that every borrower completely understands there is no escape hatch for freeing themselves from their obligations and that the key is to avoid the circumstance of getting there in the first place. KEY CHANGES TO THE LAW Makes a “fresh
