Time is undoubtedly running out for Americans seeking bankruptcy protection before a tough new bankruptcy code kicks in Monday. Among the more stringent rules is a tightening of limits for people whose income exceeds their state's median income in the six months before filing. Those folks may not be able to file for Chapter 7 bankruptcy, which lets consumers dump their debts and start afresh altogether, but instead be forced into a Chapter 13 filing, which entails repaying creditors under a court-approved plan. Wealthy bankruptcy filers also will be restricted if they were planning to hang on to their palaces under "homestead exemptions."
-- Gregg Greenberg, TheStreet.com