Herb Kohl: “the dramatic rise in bankruptcies is very troubling, regardless of whether the blame lies with credit card companies, a…”

“the dramatic rise in bankruptcies is very troubling, regardless of whether the blame lies with credit card companies, a culture that disparages personal responsibility, the bankruptcy code or, most probably, with all of the above. While none of us wants to return to the era of ``debtors' prison,'' we need to do something to reverse this trend. But true ``reform'' will only occur if we prevent the most egregious abuse of the bankruptcy laws--misuse of the homestead exemption. And we will only have true reform if we target other abuses without overburdening the vast majority of debtors who truly need--and deserve--relief. And, true reform also requires a balanced approach that targets abusive practices by creditors as well as by debtors. That is why I intend to vote for this bill. It does all three: prevents the most egregious abuses by capping the homestead exemption, uses ``means testing'' to deter other serious abuses without placing unfair burdens on honest debtors, and requires credit card companies to disclose the information consumers need to make intelligent choices.”