House passes the National Guard and Reservists Debt Relief ActMortgagePress.comHouse of Representatives, HR 4044, National Guard and Reservists Debt Relief Act, bankruptcy relief, Chapter 7
The U.S. House of Representatives has unanimously approved HR
4044, the National Guard and Reservists Debt Relief Act, which was
introduced by U.S. Reps. Jan Schakowsky (D-IL) and Dana Rohrabacher
(R-CA). The bi-partisan bill would allow Reservists and National
Guard Members to file for bankruptcy relief without the burdens
imposed by the current bankruptcy law. The bill now awaits
consideration in the U.S. Senate before it can be sent to the
President for his signature.
"Today's passage brings us another step to closer to providing
modest financial relief to Reservists and Guard Members who are
struggling to make ends meet because of their service. This bill is
a small token of our appreciation and gratitude for their service
and sacrifice to our country," said Rep. Schakowsky. "I urge the
Senate to pass the bill quickly so that we can get it to the
president's desk for his signature. The sooner that we provide this
benefit, the easier it will be for our service men and women to
recover from the financial hardship they have had to endure while
serving our country."
The National Guard and Reservists Debt Relief Act would make it
easier for soldiers to file for bankruptcy by eliminating the means
tests for those serving for more than 90 days in Iraq and
Afghanistan. This exemption currently exists for disabled veterans.
The Bankruptcy Abuse Prevention and Consumer Act, which became law
in 2005, made it more difficult for members of the National Guard
and Reservists to file for Chapter 7 bankruptcy by placing tougher
restrictions on the dismissal of debt.
For a copy of HR 4044, the National Guard and Reservists Debt
Relief Act, click