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Now'd be a good time for public officials to reform #bankruptcy law so that it favors bailing out individuals rather than rich businesses. It cost me over $2500 at a low-income attorney's office with no assets to protect (ie v little paperwork) to unload credit card/medical debt.
I had to pay for and endure extremely condescending "classes" on How To Save Money and Budgeting -- as though chronically poor folx don't already wish they had the resources to do either. #bankruptcy
My attorney was nice enough -- his assistant was paralegal sharp and walked me through a terrifying six month process that still left me $25,000 in debt bc "reforms" made under W {start here https://www.congress.gov/bill/107th-congress/house-bill/333 and work your way through his admin} cemented student loan debt.
This is my FAVORITE line:
"Replaces the presumption in favor of granting the relief sought by the debtor with a presumption that abuse exists if the debtor's current monthly income exceeds an amount determined according to specified formulae."
https://www.govtrack.us/congress/bills/107/hr333/summary
"Replaces the presumption in favor of granting the relief sought by the debtor with a presumption that abuse exists if the debtor's current monthly income exceeds an amount determined according to specified formulae."
https://www.govtrack.us/congress/bills/107/hr333/summary
The 2005 additional "reform" was a doozy.
https://en.wikipedia.org/wiki/Bankruptcy_Abuse_Prevention_and_Consumer_Protection_Act
https://en.wikipedia.org/wiki/Bankruptcy_Abuse_Prevention_and_Consumer_Protection_Act
My personal favorite part because it terrified me as intended:
(Sec. 413) Authorizes a creditor holding a consumer debt to participate in a meeting of creditors in a chapter 7 or 13 case, either alone or in conjunction with an attorney.
https://www.congress.gov/bill/109th-congress/senate-bill/256 #bankruptcy
(Sec. 413) Authorizes a creditor holding a consumer debt to participate in a meeting of creditors in a chapter 7 or 13 case, either alone or in conjunction with an attorney.
https://www.congress.gov/bill/109th-congress/senate-bill/256 #bankruptcy
The idea that Capital One and Citibank could come PERSONALLY contest my debt discharge in front of the judge (and a few dozen strangers waiting for the judge to call them up to the front for questioning) hit me HARD. It hung over me the whole six month process.
It didn't matter much, my attorney's reassurance that in a case like mine, where I owed so little in the scheme of things, Citi et al just writes it off and moves on. Anyone willing to put themselves through the humiliating, time consuming #bankruptcy process is a bit fragile.
They continue attempts to make it nearly impossible to discharge debt -- something rich people like our current president do REPEATEDLY without a second thought { https://www.newyorker.com/news/our-columnists/donald-trumps-business-failures-were-very-real}.
From 2018: https://www.govtrack.us/congress/bills/115/s2282 #bankruptcy
From 2018: https://www.govtrack.us/congress/bills/115/s2282 #bankruptcy
All the talk during elections about SIMPLIFYING THE TAX CODE (aka flattening shit so poor people get fucked) always makes me want to scream: HOW BOUT SIMPLIFYING A THING THAT HELPS REAL HUMAN BEINGS? Yanno, like debt relief. It's even an economic stimulus! #bankruptcy
Politicians pretend there's not much they can do, the "system" etc etc, balanced budgets yadda yadda, we must prevent the purchase of flat screens because poor people shouldn't pool their money for the only entertainment they can afford.
Except we have the data...
Except we have the data...
"When governments give people in-kind support like food, it frequently costs more to deliver that support than it would to distribute cash"
https://www.theatlantic.com/international/archive/2015/09/welfare-reform-direct-cash-poor/407236/
Handing out cash requires FAR LESS administrative costs -- just ask the president/IRS.
https://www.theatlantic.com/international/archive/2015/09/welfare-reform-direct-cash-poor/407236/
Handing out cash requires FAR LESS administrative costs -- just ask the president/IRS.
If we got cash instead, some months I would hoard payouts. I'd use my grace periods at utilities, etc and save to pay a bill in collections. Those months, I'd just eat more Ramen and cereal. Money vs "benefits" provides a real chance to improve one's situation.
As a bonus, it also treats people like human beings. And it allows for the opportunity to start building a budget and setting priorities. Transitioning people into stability* SHOULD be the point/goal of these programs.
(*Notice I didn't say self-sufficiency.)
(*Notice I didn't say self-sufficiency.)
Stability looks different for everyone because our needs differ. Stability for me MUST require the ability to pay for $600-1000/mo in mental health care and medications. (That's with sliding scale therapy via @betterhelp's queer subsidiary Pride Counseling & help from @GoodRx.)
Federal social security disability is off the table for anyone GROSSING (before taxes) $1170/month. I gave that process a shot in 2016; I still have the five-page rejection letter where they concur that #PTSD is an income-inhibiting condition, but say I'm too rich to help.
If politicians want to simply something(s) to reduce overhead costs, the IRS isn't the place to start. They act like we don't know who needs help or where. 26% of adults in the US have a disability, so maybe start there? https://www.cdc.gov/ncbddd/disabilityandhealth/infographic-disability-impacts-all.html
It's not rocket science, is the thing. People w/disabilities aren't the only population that could use some monetary consideration, of course. Being part of that pop has meant tons of experience w/navigating a discouraging system. There are A LOT of us:
https://www.pewresearch.org/fact-tank/2017/07/27/7-facts-about-americans-with-disabilities/
https://www.pewresearch.org/fact-tank/2017/07/27/7-facts-about-americans-with-disabilities/
I've gotten asked (typically by strangers shocked -- SHOCKED!! -- that a ride share driver or bartender or dogwalker was articulate) frequently why I don't run for office. It's because my only policy isn't 'electable':
Give Money To Poor People.
Give Money To Poor People.
I'm in excellent company.
“It’s a very simple, direct, and low-cost way to help people who are poor,” says Yale University economist Dean Karlan.
https://www.fastcompany.com/3049642/how-to-fight-poverty-its-simple-give-cash-to-poor-people
“It’s a very simple, direct, and low-cost way to help people who are poor,” says Yale University economist Dean Karlan.
https://www.fastcompany.com/3049642/how-to-fight-poverty-its-simple-give-cash-to-poor-people
Handing out cash has been tested. In various systems under various conditions. It turns out (try not to be shocked) that when you empower people to prioritize immediate needs, negotiate settlements with creditors, see doctors, make a car payment, etc, THINGS IMPROVE FOR THEM.
The problem is that the poor have very little time due to work requirements for whatever programs they successfully navigated, health concerns, family needs, and a lack of access to elected officials. Our unmet needs remain an accepted downside of capitalism.
