Bankruptcy New Laws

On october 18, 2005, a new law took effect that substancially changed the bankruptcy system. Written primarily by the banking and credit card industries, the new bankruptcy law places a number of new hurdles in the way of those who seek the 'fresh start' bankruptcy tradionally offered. Among the changes enacted by the new law are provisions that make it harder to wipe out certain types of debts, force more debtors to repay a portion of their debts, require debtors to undergo credit and budget counselling, impose more obligations on bankruptcy attorneys (which has driven some attorneys out of the field and caused those who remain to raise their fees) and subject bankruptcy filers to increased scrutinity from teh court and the United states attorney General