Via
James Wexler, Associate Broker~Coldwell Banker:
Amidst the good news of home sales increasing , we see some discouraging news of the financial health of the American consumer and business.
The government reported that Bankruptcy filings surged 29% in the 12 months that ended June 30.
Business filings jumped more than 41% 
This jump in bankruptcy was for all Bankruptcy types, 7 , 11 and 13.
More surprising, is the large jump in numbers since the strict limitations imposed by the 2005 Bankruptcy Abuse Prevention and Consumer Protection.
Please note the following political positions on bankruptcy law and reform
- Sen. John McCain, R-Ariz., supports the current more strict legislation.
- Sen. Barack Obama, D-Ill has proposed to fast-track bankruptcy proceedings for military families and help seniors facing bankruptcy keep their home
I am not a proponent of consumers taking advantage of bankruptcy if the can repay the debt.
However, in light of the fallout from the real estate crisis and sub-prime debacle, we are facing unique times and many consumers do not need to be drowning in debt they cannot repay.
After all, America and its people are a country of second chances.
;)
;)
