Is the New Bankruptcy Law Really “Good”?
The new bankruptcy law, signed in 2005, was designed to prevent something that I think would be in all of our best interests to prevent, the abuse of filing for bankruptcy, which up until then was admittedly a tad too easy for almost anyone to do.
The numbers of bankruptcies filed since the enactment of the new legislation has plummeted almost over half since it was signed into effect, but some people are now questioning whether the law is really protecting the wrong people, people who don’t need the protection as much and are possibly doing it to protect financial assets that are numerous, and leaving people who really do need it and are in desperate financial straits, out in the cold.
What do you think? I really have mixed feelings about this. While I’m sure the banking industry lawds this sort of legislation, it really boggles my mind that this sort of strict enforcement and obvious leaving out of a certain segment of the population was signed into effect so easily after years of controversy and heated discussion.
As with any other law that has to do with personal finance, I wonder if this is going too far, or if it was a necessary evil?
