Too many consumers are taking out too much debt, and not paying it back, even though they can. So claimed creditors during the 2005 bankruptcy "reform." And therefore, if consumers declared bankruptcy to avoid unsecured debt, it should follow them through the bankruptcy process.
There's something wrong with this picture: Bankruptcy filings are now double (admittedly articially low) 2006 levels.
The first part was true: too many consumers were taking on too much debt. The second was patently false. Consumers were not paying it back because they COULDN'T.
The reasons were not hard to find. Consumers were flooded with credit cards offering easy (minimum) payments. Spend now, pay later. When "everyone" is doing this, many consumers will get overextended. So the consumer's problems originated with the creditors themselves. Now they want to collect on problem loans that they created.
In essence, the credit card companies are like the boy who killed his parents and asked the court's mercy because he is an orphan.
The credit card companies tried to make indentured servants out of consumers. First, they wanted the consumer to spend to the maximum of his/her ability to pay. Then they wanted laws to enforce actual payment.