Bill Delahunt: “This bill represents an ill-considered change in public policy that totally advantages some creditors, particularly…”

“This bill represents an ill-considered change in public policy that totally advantages some creditors, particularly large credit card issuers, over families that seek bankruptcy relief because of financial catastrophes caused by major medical expenses, divorce, job loss, death of the family bread winner and the like. In fact, it was the former chairman of the Committee on the Judiciary, the gentleman from Illinois (Mr. Hyde), that pointed out last year during the course of this debate that there were 75 consumer creditor enhancements in this bill. It also advantages the sophisticated debtor who has accumulated so-called 'exempt assets,' to the detriment of the unsophisticated debtor who has no assets and is earning $40,000, $45,000, or $50,000 a year trying to put bread on the family table. The American people should know that a debtor can live in a mansion in Florida worth millions, have an individual retirement account of up to $1 million, have annuities worth additional millions of dollars, receive a nice big fat pension and not worry, because these assets are exempt and creditors cannot touch them. But if you do not have any so-called exempt assets and are barely making it and genuinely need bankruptcy relief, woe is you. Those credit card companies will be able to chase you forever. Just imagine how this different treatment of debtors will appear to the American people.”