In 2005, a major reform of the Bankruptcy Code was signed into law. Sen. Joe Biden (D-Delaware) was among those advocating for the change. Many creditors had come to believe that the bankruptcy law in its previous form encouraged abuse, and that people were seeking bankruptcy protection unnecessarily, and perhaps fraudulently. Interestingly, one person on the other side of the discussion was Elizabeth Warren, now a senator, and also running for president.
Warren argued in fact that the abuse the law was meant to combat wasn’t actually occurring at a scale to make the law necessary, and that enacting the law would make it more difficult for struggling citizens to obtain relief under the code. Advocates like Warren had plenty of other ammunition to dismiss Biden’s concerns because of his long association with one of the creditors in his state, and his friendly relationships with other creditors. This will be an interesting fight to watch over the next couple of years, as Democrats wrestle with their relationship to the finance industry, and to the people who are served or not served by that industry.
In any case, the attorneys at the Bankruptcy Clinic, PC stand ready to help you as a citizen and consumer find relief under the bankruptcy code. Whatever changes lawmakers see fit to make, we intend to continue serving ordinary people to the best of our ability. Compassion and service are the things we value the most. If you need help protecting items you value, contact the Bankruptcy Clinic, PC as soon as possible. Turn a financial corner with help from some friends, here in your corner, regardless of the circumstances. You won’t find a better partner here in Southern Illinois. The longer you wait, the more difficult your situation will likely become. The consultation is always free.