New Bankruptcy Law Putting Credit Counselors in a Bind

Published on:
12 September 2006 at 10:21 a.m. ET

Written by: Unknown Author –

http://www.insidearm.com/news/00018877-new-bankruptcy-law-putting-credit-counsel/

By Melissa Allison and Emily Heffter, Seattle Times

Anyone who wants to file personal bankruptcy now must visit a credit counselor first, thanks to a new bankruptcy law that kicked in last fall. Lenders hoped counseling would persuade some borrowers not to file bankruptcy.

But the sessions aren’t changing anybody’s mind about filing, credit counselors say, and the required counseling is putting the agencies in a financial bind.

For this complete story, please visit Law puts debt agencies in a bind.