Dianne Feinstein: “Under this so-called ``compromise'' language, as long as a debtor plans a couple of years in advance, or already lives…”

“Under this so-called ``compromise'' language, as long as a debtor plans a couple of years in advance, or already lives in one of those five States, there is no cap. This is a very soft cap, indeed. So the current language in the bill does not represent a real compromise, it does little to stop wealthy debtors from protecting their assets through bankruptcy and living the rest of their lives in luxury, while leaving their creditors with nothing. Bankruptcy is a federal matter. In fact, our Constitution explicitly gives Congress the right to establish ``uniform laws on the subject of bankruptcies throughout the United States.'' So this Congress is constitutionally authorized, even obligated, to see that bankruptcy laws are fair and uniform throughout our Nation. We must ensure that bankruptcy is a refuge of last resort for those truly in need of a fresh start, not just another financial planning tool to help felons and deadbeats protect their assets from creditors. This bill rightly encourages responsibility for those who enter bankruptcy, so that those who can pay their debts, do pay their debts. But we must encourage responsibility across the board, not just for those who cannot afford a god accountant or don't happen to live in Texas, Florida, Iowa, South Dakota or Kansas.”