On October 17, about the time the lights are scheduled to go back on in New Orleans, the new bankruptcy law is supposed to go into effect. Whatever else anyone can say about this bill, everyone agrees on one fact: the law makes it harder for anyone to go bankrupt. Sure, the credit industry says the means test will snag only people with above-median incomes, but literally hundreds of provisions in the bill apply to every family, not just those with higher incomes. Filing fees will increase, paperwork will increase, credit counseling will become mandatory, consumer education will be required, the amounts to be paid to confirm a plan in Chapter 13 will go up — and on and on.
This is a companion discussion topic for the original entry at https://talkingpointsmemo.com/?p=1249965