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Bankruptcy Reform and Hurricane Katrina
Many survivors of Hurricane Katrina have been left homeless and jobless and as the recovery progresses, may find that the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005, scheduled to take effect on October 17, 2005, may have negative impacts on their ability to obtain a fresh start.
As you can tell from previous entries on this blog, the amendments to the Bankruptcy Code make bankruptcy filing harder for debtors. As the thousands of survivors move past the immediate survival needs, they will find that debts still exist but many will now be jobless.
As a result to ease some of the burden and to protect the people and businesses that have been financially devastated by Katrina, Reps. John Conyers (D-Mi), Jerrold Nadler (D-NY), Mel Watt (D-NC) and Sheila Jackson Lee (D-TX) plan to introduce legislature when Congress reconvenes today to protect those affected by the disaster.
From the announcement, the purpose of the new legislation is "to insure that we do not compound a natural disaster with a man made financial disaster."
For the complete announcement, please click on this link.
http://www.house.gov/apps/list/press/ny08_nadler/DebtreliefKatrina090105.html
Ray
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