Re: New Bankruptcy Law Still In Conference

Posted by Robert M (12.225.232.116) on May 26, 2002 at 05:16:45:

In Reply to: New Bankruptcy Law Still In Conference posted by Why Chat on May 22, 2002 at 15:16:00:

Yes they are in "conference" as you put it, but both the House and Senate have PASSED their own versions of the bill.

The House and Senate have each passed a bankruptcy reform bill and are now working on a joint one. The reformers point out that the number of people filing for bankruptcy has shot up from 330,000 in 1980 to 1.4 million in 1999, and that this is costing credit card firms and other lenders a few billion dollars annually. The fact that credit card issuers mail out more than 3 billion solicitation letters a year suggests that they may not be suffering all that much. But the reformers also argue that the growth in bankruptcy signifies that risk-taking has gone too far. People are borrowing casually, then using the law to avoid even repayments they could afford. Consumers ultimately bear some of the cost.

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