Bankruptcy Abuse Prevention and Consumer Protection Act (U.S.)

The Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA), enacted in 2005, aims to curb abuses of the bankruptcy system by requiring individuals to undergo credit counseling before filing and establishing stricter qualification rules. It also makes it more difficult for higher-income filers to discharge debts and emphasizes repayment plans. The law seeks to ensure that bankruptcy protections are used appropriately and that debtors genuinely need relief, while preventing abuse by those who might misrepresent their financial situations or misuse the process. Overall, it balances helping distressed consumers with safeguarding the integrity of the bankruptcy system.