There is a serious problem looming that affects all Utah households.
There is a growing concern that bankruptcy laws have become too lax - almost a part of financial planning. Folks run up credit card debt only to walk away from all debt and responsibility by declaring bankruptcy. In some cases, these people can actually pay a good portion of their debts.Utah has had an increase of over 27 percent in 1996 of those filing for bankruptcy and that is during good economic times.
Each Utah family pays hidden costs when bankruptcy laws are abused. We pay in higher costs of taxes, goods and services.
We need to tighten up bankruptcy laws - not make it too cozy for people and businesses to abuse the system. Also, all bankruptcy filers should receive credit counseling and business guidance as well as be educated about the importance of responsibility for their debts.
If someone qualifies for credit, they ought to be responsible enough to pay for it. We need to quit letting people walk away from their debts and save bankruptcy for those who truly need the help.
It is the responsible consumer that picks up the tab for bankruptcies.
Let's support reform to ensure those who have the ability to repay some of what they owe are, in fact, required to do so. This would restore personal responsibility and fairness to the bankruptcy system (which is getting out of hand) and ensure that responsible consumers aren't the ones who are penalized.
Caree and Bart McDonald
West Valley City