Originally Posted by Xiahou
Anyone familiar with the proposed bankruptcy reform before Congress?
From what I hear, the proposal would make it tougher for people to have their debts wiped totally clean through bankruptcy, forcing people to pay at least part of their debts back using any income they have after housing, food ect.
On one hand, I say good- it should be tougher for people to shirk their commitments and from racking up huge debts only to declare bankruptcy to get out of paying... On the other hand, this reform is being heavily lobbied by banks and credit card companies and I think they dig their own graves when it comes to bankruptcy. Why do they still offer pre-approved credit cards by the dozens to people who are already thousands in debt? Why are they so quick to make car or home loans to credit risks? I sometimes tend to think the credit companies already hold all the cards by hoarding your personal information, credit score, ect. so why make things even easier for them at the expense of consumer. I also feel that the idea that a person can take a financial risk without fear of being shouldered with debt for the rest of their lives is an important entrepreneurial aspect of American culture.
Thoughts?