Bankruptcy law will boomerang

Constitutional bankruptcy law stems from the Bible. Deuteronomy 15.1 says: "In the 7th year, each creditor shall release his debtors. This shall be known as The Lord's Release." The purpose of relieving debt was to prevent damage to society as a result of allowing debts to live forever.

The "religious" Reich and their accomplices on the Left ignore these teachings at their own peril.

If people are forced to pay forever, they won't be able to buy from the very creditors and merchants who refuse to release them. This will hurt the entire economy. (We all know we're on the verge of an economic meltdown with the deficit looming and the real estate bubble about to bust. Foreclosures are currently at record numbers.)

People who file pay more for everything in terms of interest and it puts many items out of reach for them like home ownership. The credit industry still gets their money back from them this way.

The new law has only lowered the risk for the credit industry. But it also lowers overall buying power. Everyone will be hurt.

The credit card companies are shooting themselves in the foot. But, the CEO's of these companies already have their stash offshore, so they don't care about society, consumers, or the shareholders of the companies they run.

"The new law has only lowered the risk for the credit industry."

INDUSTRY - where you actually MAKE something? In this case, misery...Mucho thanks to those sellout democrats who refused to vote against keeping the highest interest rate charged to 31%...

They shall sow winds and they shall reap the wirlwind....

Yep this is the seed of their own destruction... see that misery index rise

don't even vote and they don't see any connection. On the other hand I don't see too many of these trailer types having credit cards either so it might not hurt that class of people. And the middle class folks will respond by cutting up their credit cards and saving up to get things.

do have credit.. they don't vote... but that ain't teh point... once a person looses all hope... they do things you never expect.

A truist of social science... 70+% misery index... riots... 90+ revolutions....

By the way we tend to have them in a peaceful way every twenty yaers or so, we are well overdue.

we know 'em because we go leafletting etc. for Dem candidates in such places but with little luck. Perhaps even they will get fed up eventually and rise above stereotypical behaviour.

the Crash of 1929 should be your guide here

who just get by and who will be affected. There are enough of them to hurt the economy--especially younger people like college students paying off debts.

More homelessness, more people on food stamps, more crime, more use of the underground economy, and just plain more heartache for the middle class and working poor leading to less spending and economic activity. The people running our country are idiots!

...because with just about every major bank issuing debit cards with "Visa" and "MC" logos, credit cards have become obsolete.
We have just refinanced our home, and paid off all our credit cards, and now they're sending "checks" to coerce us into getting back into debt, but UH-UH!
We're keeping the credit cards for our credit history.
The only debts we have now, is our mortgage. We refinanced before, and with the cash-out option, we bought ourselves good, and reliable cars so we wouldn't get stuck with car payments (although those are relatively "safe" since car payments are considered "secured installment loans", and couldn't even be taken into BK 7--unless you wanna lose your car).
For all other things, we pay cash, and if we can't afford it, we just refinance our home again (our equity jumps in leaps and bounds in the Los Angeles area), and buy bigger purchases with the cash.
The problem I'm having with this so-called "bankruptcy reform bill" is that in all it's language, it benefits the heavily lobbying finance companies, against consumers.
Why can't Repub-voters understand, that the GOP never cares for anyone that earns less than $250,000 per annum??
Are they really that stupid??

Sovereign ingredient for a happy marriage: Pay cash or do without. Interest charges not only eat up a household budget; awareness of debt eats up domestic felicity. (Robert A. Heinlein)

we had to use the credit card and boy I was on knotts for four months... every month going how much can I pay these suckers?

But sometimes people need to use credit cards to pay for the U.S.'s extremely expensive healthcare.


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"Prosperity is just around the corner." — Herbert Hoover
"The economy has turned a corner." — GW Bush

Herbert Hoover = GW Bush

Neither man cared about the Depression their economic policies created.

Why would any one take on debt if they know that it could haunt them for the rest of their lives.

This will dampen the economy as people move toward cash only transactions.

Ultimately we might see a growing barter economy.

It will take a few years but the credit creators will most likely see there revenues decline.

Removing all risk protections is a bad idea.

Katie asked if the bill contained anything to curtail what have been claimed as unfair practices by credit card companies using switch and bait rates and lures for the uncreditworthy. Answer "no."

Basically, the bill makes borrowers victims of these companies. They will now lure more and more people into using their cards--including the often ill equipped young college students who will ruin their lives with credit abuses.

The bill takes lending from an agreement to a demand--creditors are now loan sharks, plain and simple.

it will be interesting to see what happens next.