Political Quotes

“Under current law, National Guard members and reservists who serve on active duty are, like other active-duty servicemembers, exempt from the Bankruptcy Code's means test, which determines whether a debtor's income is too high to have all of his or her debts erased in bankruptcy. Unless otherwise exempted, servicemembers and veterans must complete the required forms and submit the specified paperwork to satisfy the Bankruptcy Code's means test. This requirement even applies to servicemembers who have returned to the United States from active service and, thus, no longer receive combat pay. Under the means test, a servicemember must calculate his or her income based on the average monthly income that he or she received during the six months preceding the filing date of the bankruptcy case, rather than the debtor's actual income, which may be less because of the debtor's noncombat status. H.R. 3304, the National Guard and Reservists Debt Relief Extension Act of 2019 responds to this concern. This legislation would extend for 4 years the temporary authorization exempting certain qualifying reserve component members of the Armed Services and National Guard members from the Bankruptcy Code's means test. This critical protection for National Guard members and reservists must be extended before it expires at the end of the year. H.R. 3304 was unanimously passed out of the Judiciary Committee by voice vote.…”