BANKRUPTCY ALERT!

        Congress recently passed - and President Bush signed into law - new Bankruptcy legislation, most of which took effect October 17, 2005, but some of which - relative to the state Homestead Exemption - took effect immediately. In short, the new legislation  makes it harder for middle income Americans to file a Chapter 7 liquidation bankruptcy, and will force many people having financial problems to file under Chapter 13 and make payments on their debts over the next 5 years ( Chapter 13 plans were usually for 3 years unless the Debtor requested otherwise). Besides costing the Debtor thousands of dollars in Plan payments, a Chapter 13 bankruptcy also involves higher attorneys' fees due to their relative complexity.

        If you are at all contemplating filing a bankruptcy in the near future, you must consult with a bankruptcy practitioner immediately to determine whether you are still eligible to file Chapter 7, and which Chapter is best for you.