Wednesday :: Nov 28, 2007

Dodd Plans To Amend 2005 Bankruptcy "Reform"

by Steve

Being a committee chairman can yield dividends when you are running for president. Chris Dodd plans to introduce legislation amending the terrible 2005 bankruptcy “reform” legislation.

Among the changes, Dodd would:

-Once again “allow judges to consider the unique circumstances of individuals and to ensure that families are given adequate resources on which to live.”

-"Ensure that money intended for child support or alimony payments to support children do not become part of the estate and cannot be distributed to creditors at the expense of children.”

-"Amend current bankruptcy law to treat a mortgage like other secured debt, allowing bankruptcy courts to restructure mortgages so that they are affordable for the borrower while helping people keep their homes.”

-"Reform bankruptcy so that all medical debts are dischargeable, so that a medical illness can never result in a family's financial ruin.

-Allow for private student loans to be dischargeable through bankruptcy, to provide a disincentive against predatory private lenders exploiting students and their families.

It's a good issue for Dodd to use, as he can re-visit the debate when Joe Biden and Harry Reid voted for this. I want to see the Democratic candidates force their GOP counterparts to side with the banks and against consumers in the middle of a presidential campaign.

Steve :: 3:01 PM :: Comments (5) :: Digg It!