Ed Royce: “the time has come for bankruptcy reform. This will be the third time that Congress has passed a bankruptcy reform bill…”

“the time has come for bankruptcy reform. This will be the third time that Congress has passed a bankruptcy reform bill in our effort to get this through. Our bankruptcy laws do play an important and necessary role in protecting Americans who really need them, and that is the key. That should be the key: need. And this bill makes the existing bankruptcy system a needs-based system addressing the flaw in the current system that encourages people to file for bankruptcy and walk away from their debts regardless of whether they are able to repay any portion of what they owe. It does this while protecting those who truly need protection. They are exempted under the bill. The cost to all of us in terms of what is going on in these filings is great. This is a cost borne not only by the business community and the property owners but by the consumers who pay their bills responsibly. By some estimates, it takes 33 responsible consumers to pay for just one bankruptcy of convenience.”