Changes to Bankruptcy Law
Information Provided by Maryland and Washington DC Bankruptcy Lawyer, Kevin D. Judd
Federal and state bankruptcy laws were created to provide legal assistance for those who are struggling with large amounts of debt. The two most common forms of bankruptcy law are Chapter 7 bankruptcy and Chapter 13 bankruptcy. Before you decide to file for one of these types of bankruptcy, you should first speak to a qualified Maryland and Washington DC bankruptcy lawyer at the Law Firm of Kevin D. Judd who can assist you with your case and inform you of recent changes in the law.
In 2005, a widespread change took place in the area of bankruptcy law when the Bankruptcy Abuse Prevention and Consumer Protection Act was passed. With this act came numerous changes in how bankruptcy proceedings are handled. For instance, previous debtors were able to choose between Chapter 7 and Chapter 13 bankruptcy. Now, debtors with higher income are often required to choose Chapter 13 and repay part, or all, of the money to creditors. This restricted eligibility has affected many bankruptcy cases.
Another change in bankruptcy law states that every debtor must receive credit counseling before filing. In addition, after filing, each debtor must complete a pre-discharge financial management course. This is meant to ensure that they will not have to file for bankruptcy again.
It is important to research and understand the changes of bankruptcy law before proceedings have begun. If you have any more questions on recent changes to bankruptcy law, contact a qualified Washington DC and Maryland Chapter 7 lawyer today.
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