With the election of a new president, many people are wondering what may change under a Biden presidency. In many areas of policy there may be significant changes. In regards to bankruptcy, consumer attorneys are not expecting many changes in this area of law. In 2005, then Senator Biden was instrumental in changes to the bankruptcy code, and in fact the legislation helped out big banks and creditors more so than it did consumers.
Possible Bankruptcy Relief Under President Biden
Since then he has changed course and supports more bankruptcy policies that can help consumers. One of the biggest potential changes is his support of letting people more easily discharge their student loans in bankruptcy.
What is important to take away is that President Elect Biden supports bankruptcy, and has even stated that too many Americans carry debt for too long when they could utilize bankruptcy protections. Bankruptcy isn’t going anywhere under a Biden Presidency.
Possible Student Loan Relief Under President Biden
President Elect Biden has come out to support Senator Elizabeth Warren’s plan to help consumer’s discharge student loans, and make it easier for people to file for bankruptcy. Of course, this is only a plan. It would need to be a bill that that would arrive on President Elect Biden’s desk only after passing the House and the Senate.
Consumer Bankruptcy attorneys remain hopeful that student loan reform will come about either through Congress passing a bill that changes the rules regarding student loans, or possibly even through executive action, that Biden could take without having to wait for Congress.
CALL NOW FOR A FREE STRATEGY SESSION FROM A MN BANKRUPTCY LAWYER AT KAIN & SCOTT
If you have questions on if bankruptcy could be right for your circumstances, or just want to ask some general bankruptcy questions, please don’t hesitate to reach out to Kain & Scott, Minnesota’s largest bankruptcy law firm, to set up a free consultation by calling 1-800-551-3292 or visit us at www.kainscott.com.
