Bankruptcy Abuse Prevention And Consumer Protection Act - BAPCPA

Bankruptcy Abuse Prevention And Consumer Protection Act - BAPCPA

Legislation enacted by President George W. Bush in 2005 that revised the bankruptcy code for cases filed on or after October 17, 2005. The act created a means test that determines whether individuals filing for bankruptcy can file for chapter 7 bankruptcy, which discharges many debts in full, or whether they must opt for chapter 13 bankruptcy, which requires at least partial repayment of debts. Further, the act increased the waiting period from when an individual last filed chapter 7 bankruptcy to when they may file again.

Essentially, the purpose of the act was to make it more difficult to qualify for chapter 7 bankruptcy by more closely examining the filer’s ability to repay their debts. The means test compares the debtor’s monthly income to the median income in his or her state of residence and provides an allowance for assumed monthly expenses, at rates determined by the IRS, as well as an allowance for actual monthly expenses. If the individual exceeds the median income and has too much money left over after accounting for living expenses, he or she will usually not qualify for chapter 7 bankruptcy.


Investment dictionary. . 2012.

Игры ⚽ Нужен реферат?

Look at other dictionaries:

  • Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) of 2005 — This legislation primarily affects consumer filings, making it more difficult for a person or estate to file for Chapter 7 bankruptcy. The BAPCPA impacts business filers as well with the heaviest impact on smaller (those listing less than $2… …   Glossary of Bankruptcy

  • Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 — Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) of 2005 This legislation primarily affects consumer filings, making it more difficult for a person or estate to file for Chapter 7 bankruptcy. The BAPCPA impacts business filers as… …   Glossary of Bankruptcy

  • Bankruptcy Abuse Prevention and Consumer Protection Act (US) — Bankruptcy Abuse Prevention and Consumer Protection Act Full title An Act to amend title 11 of the United States Code, and for other purposes. Acronym BAPCPA Colloquial name(s) Bankruptcy Reform Enacted by the …   Wikipedia

  • Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 — (BAPCPA) USA Extensive amendments to the Bankruptcy Code signed into law on April 20, 2005, which generally became effective on October 17, 2005. These amendments have in general disadvantaged debtors and shifted leverage on various important… …   Law dictionary

  • Bankruptcy Abuse Prevention and Consumer Protection Act — The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (USStatute|109|8|119|23|2005|04|20), providing for significant changes in bankruptcy in the United States, was passed by the 109th United States Congress on April 14, 2005 and… …   Wikipedia

  • BAPCPA — Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) of 2005 This legislation primarily affects consumer filings, making it more difficult for a person or estate to file for Chapter 7 bankruptcy. The BAPCPA impacts business filers as… …   Glossary of Bankruptcy

  • Bankruptcy — Notice of closure attached to the door of a computer store the day after its parent company declared bankruptcy (strictly, put into administration see text) in the United Kingdom. Bankruptcy is a legal status of an insolvent person or an… …   Wikipedia

  • BAPCPA — Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA) USA Extensive amendments to the Bankruptcy Code signed into law on April 20, 2005, which generally became effective on October 17, 2005. These amendments have in general… …   Law dictionary

  • Bankruptcy in the United States — The United States Constitution (Article 1, Section 8, Clause 4) authorizes Congress to enact uniform Laws on the subject of Bankruptcies throughout the United States. Congress has exercised this authority several times since 1801, most recently… …   Wikipedia

  • Chapter 7, Title 11, United States Code — Bankruptcy in the United States Bankruptcy in the United States Authority · History U.S. Trustee Court  …   Wikipedia

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”