Urgent! Call Congress to Demand an "Open Rule" for the Bankruptcy Bill!

[Kevin Spidel]

Urgent! Call Congress to Demand an "Open Rule" for the Bankruptcy Bill!

This Tuesday, April 5, at 5 p.m., the House Rules Committee will decide whether to allow any amendments to the outrageous Bankruptcy Bill that was passed by the Senate (S. 256).

The bill will change current law to prevent you from declaring bankruptcy under Chapter 7, which pays off your debts by liquidating your assets, giving you a fresh start financially. Instead, it would force you into Chapter 13 with a rigid 5-year repayment plan. You would no longer be able to protect your car and home, and you would have to pay greater legal fees.

Simply put, you would become a debt slave to the credit card companies.

When the Senate passed this bill, it rejected a dozen crucial changes to make the bill humane - such as exemptions for serious medical problems, exemptions for those in the military, an interest rate limit of 30%, protecting the homes of the elderly, and comparably strict treatment of those who are rich.

In the House, Majority Leader Tom DeLay does NOT want to give Democrats a chance to offer crucial amendments like these.

He has instructed the House Rules Committee to adopt a "Closed Rule" when it meets on Tuesday.

It is urgent that everyone call the Republican Members of the House Rules Committee to demand an "Open Rule" on S. 256, the Bankruptcy Bill.

DAVID DREIER, CA – CHAIRMAN (202)-225-2305
LINCOLN DIAZ-BALART, FL (202)-225-4211
DOC HASTINGS, WA (202)-225-5816
PETE SESSIONS, TX (202)-225-2231
ADAM PUTNAM, FL (202)-225-1252
SHELLEY MOORE CAPITO, WV (202)-225-2711
TOM COLE, OK (202)-225-6165
ROB BISHOP, UT (202)-225-0453
PHIL GINGREY, GA (202)-225-2931

http://www.debtslavery.org
Also, take action here: http://capwiz.com/pdamerica/issues/alert/?alertid=7319731&type=CO





Bob Fertik, President Democrats.com [e-mail] 718-424-7772
David Swanson, Board Member Progressive Democrats of America, [e-mail] 202-329-7847

[Frances]

1. I have to go to work now

but I called 4 of the people on this list.

By the way, I hope that other DUers will take this opportunity to do something positive to help in a good cause.

[Jacobin]

2. This bill stinks to high heaven

Bandaids on it won't help IMHO. Once it is put in place and a couple of years go by and people are getting SCREWED to the wall, there will be a good chance to re-revise it.

Until then, I say let the repukes (and the idiot Dems who voted for it) take the heat.

(I'm not unmindful of the pain it will produce in the interim. I just don't think the bandaid amendments are significant enough to even marginally improve it, and if it's gonna be bad, it needs to be really really bad, so it can eventually get fixed)

[Kevin Spidel]

3. Tom DeLay and the loansharks are coming for you!!!

[AuntiBush]

4. More from Democrats.com

Urgent: This bill could go through this Wednesday!

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As early as Wednesday, your Representative in Congress will vote on a hugely important "Debt Slavery" Bankruptcy Bill (S. 256) that could literally change your life. The bill was written by credit card companies, which made $30 billion in profits in 2004 - but are blinded by their greed.

The bill will change current law to prevent many families from declaring bankruptcy under Chapter 7. Rather than being able to cancel some debts and make a difficult new start, families and individuals will be placed on long-term payment plans to credit card companies.

You could lose your car, your house, your child support, and even your paycheck. If this bill becomes law, an unexpected medical expense or job loss could leave you a debt slave to these corporate loan sharks.

Tell your Representative to vote against the "Debt Slavery" Bankruptcy Bill: http://democrats.com/peoplesemailnetwork/31.

MORE

Unexpected medical expenses have crushed half of all families who file for bankruptcy. Another 40% have suffered the death of a family breadwinner, lost a job, or divorced.

Our current bankruptcy law gives these families a chance to get back on their feet, without losing everything. Under this current system, a judge looks at a family's actual income and expenses and has the ability to distinguish between a debtor whose child has diabetes and a debtor who's gone on reckless shopping sprees.

Under the bankruptcy "reform" bill before the House, judges would no longer be able to make these crucial distinctions. Courts would have to apply arbitrary "means testing" formulas for expenses like rent, regardless of what a family's rent might actually be.

The new system would also predict a family's future income based on the previous six months of income, even if someone in that family was just laid off. Families earning below the median income would be spared the foolishness of this "means testing" but would have to pay heavy legal fees. This bill does nothing to protect the wages and savings of workers whose employers declare bankruptcy, and nothing to stop millionaires who file for bankruptcy from stashing away unlimited riches in "asset protection trusts."

In fact, Congress rejected amendments to specifically address these outrageous inequalities. Please take one minute to write to your Representative now:

http://democrats.com/peoplesemailnetwork/31

Bob Fertik, President
Democrats.com

p.s. DebtSlavery.org is a coalition of national and local organizations working to block this bill. Coalition partners include Democrats.com, Progressive Democrats of America, AFL-CIO, Billionaires for Bush, Center for American Progress, The Nation, NOW, People's Email Network, and Public Citizen, plus a number of progressive blogs. If your favorite group or blog is not on our coalition list, please urge them to join us. For more information and more on what you can do to help, see:
http://www.debtslavery.org

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