The Bankruptcy Abuse and Consumer Protection Act of 2005

The United States Bankruptcy Code exists to help creditors and debtors achieve some sort of resolution when people are unable to repay their debts. Like many important laws, the Bankruptcy Code is subject to ongoing revision through the passage of new laws. The Bankruptcy Abuse and Consumer Protection Act of 2005 (BACPA) instituted a number of substantial changes to United States bankruptcy law.

Understanding the distinctions between the different forms of bankruptcy protection and the changes introduced by the passage of BAPCA can be quite challenging. Let a skilled and experienced bankruptcy attorney help you to find your footing. Contact the Arizona bankruptcy lawyers of the Harmon Law Office, L.L.C., at 480-829-0494 to begin taking control of your unmanageable debt load.

Provisions of BACPA

Although the name of the law would seem to indicate that it is intended to help struggling debtors to cope with the unexpected inability to pay creditors, this is misleading. The fact of the matter is that the primary lobbying forces in support of the legislation were credit card companies, banks, and other creditors whose interests were largely at odds with those of the debtors.

Some provisions of the Bankruptcy Abuse and Consumer Protection Act of 2005 include:

• The imposition of a “means test” for Chapter 7 filers whose income exceeds the median income level for the state of residence
• A debtor cannot pursue a Chapter 7 discharge if he or she has filed for Chapter 7 within the previous 8 years
• Chapter 7 and Chapter 13 filers must receive credit counseling within 180 days prior to the bankruptcy filing

If you think bankruptcy might be the right option for you, you need a complete understanding of both your rights and your obligations. Our experienced Arizona bankruptcy attorneys can provide the information you need.

Contact Us

The first step forward when your debts have become unmanageable is to determine what options you have to set the matter right. Contact the Arizona bankruptcy lawyers of the Harmon Law Office, L.L.C., at 480-829-0494.