08x09 - Bankruptcy in the United States

[bunniefuu]

Hi there!
Welcome to the show.

Still taking place

In this blank void.

I've nicknamed it

"Prince phillip's coffin"

Because it's a sad little box

Containing a rapidly decomposing

British man.

And look, in the wake of

The sh**ting of daunte wright

Last sunday, I can safely say:

This week has been a f*cking

Nightmare.

From the news he was pulled over

For minor traffic violations,

Including having an

Air freshener hanging

On his rear view mirror,

To the 26-year-veteran of

The police force who k*lled him

Claiming it was somehow an

Accident, to the local police

Department flying a thin blue

Line flag after the sh**ting.

Which is just corn-fed,

Deep fried bullshit.

The week sank into a

Depressingly familiar cycle,

With the president insisting on

"Peaceful protest"... Which is

So often just another way to

Prioritize compliance over

Righteous dissent,

And to protect property over

Human lives.

And those kind of calls were

Especially galling, given

Law enforcement's

Anything-but-peaceful response,

As police fired tear gas,

Rubber b*ll*ts, and flash bang

Grenades at protestors,

Creating more tension and

Anxiety in an already

Emotionally exhausted city.

And look, we could keep up our

Part in that cycle.

Right now, I could cite

Statistics about police using

Excessive force.

I could dunk on all the

Appalling responses from

Conservative media figures.

I could reiterate, yet again,

That what happened is completely

Wrong, but the fact is,

We couldn't even finish writing

About what happened to

Daunte wright before

The city of chicago released

Video of one of their officers

k*lling a 13-year-old unarmed

Child, adam toledo... Footage

Which clearly contradicted

The picture of an

"Armed confrontation" painted by

The police and the mayor,

As well as a prosecutor who'd

Said toledo had a g*n in his

Hand when he was sh*t.

Which he did not.

And that revelation began

The cycle of protests,

Calls for peace, and police

Overreaction all over again.

And here is the thing.

This show has been on the air

For seven years now.

Which, I know, some might argue

Is eight years too many.

And in that time, we have

Repeatedly covered

The multiple ways police

Terrorize communities of color

In this country.

We've done stories on police

Militarization, on their overuse

Of municipal violations

And raids, on their lack of

Accountability, and on how

The history of policing in

America is inextricably linked

With white supremacy.

And I could make the same

Arguments to you again now.

I could describe the problem to

You, but I think you know what

...and who... It is.

I can offer solutions, but I

Think you know what they are.

I can offer anger, but if you're

A sentient human being alive

Right now and you're not already

Full of that, I honestly don't

Know what to say to you.

Because the fact is,

Black people continue to be

Mowed down by the police that

They pay for.

And if you've watched the news

At all this week, you're

Probably exhausted.

Black people in america

Definitely are.

Not just from this week,

But also from the, y'know,

Everything.

The black writers on this staff

Set up an out of office reply

That just says, "nah."

And honestly, I kind of get it.

So given all that, we thought

Tonight we'd try and break our

Part in this cycle and instead

Attempt to do something

A little bit different.

Because we've decided to give

Anyone who needs it a chance to

Regroup.

And the next seven minutes are

For anyone who's felt crushed

By this week.

If you can't watch those clips

Again, we're not going to show

Them to you.

Instead, we're going to

Hopefully provide some tiny

Pieces of stupid, silly joy

Before we all plunge back into

The fight.

And so that is why our first

Story tonight concerns a giant

Bunny.

Specifically, one that's gone

Missing.

And if you're thinking, "you're

Not seriously going to talk

About a giant bunny right now,"

...well, you haven't seen the

Bunny yet.

Police are searching for a

Guinness world record holding

Rabbit.

Darius, the rabbit record

Breaker, last seen in his

Hutch-cum-shed, last saturday.

As the world's longest bunny his

Owner is desperate to find him.

Annette edwards tweeted, "a very

Sad day.

There is a reward of 1,000

Pounds.

Darius is too old to breed now.

So please bring him back."

Yeah, that's right,

Big rabbit got taken like in

"Taken."

Look at that long lad!

And by the way, an appeal to

The rabbit snatchers with

"Bring him back, he's old,

He's sh**ting blanks.

He's useless"?

Quit putting darius' business

Out there in the streets.

Even in middle age, darius is

A hotrod whose got years of

Burrowing and banging left.

Give him the respect

He deserves.

And the fact this bunny behemoth

Is missing really sours this

Clip of darius and his owner

From happier times.

He's now bringing out

Children's books, he's doing

A calendar, he's doing

A world tour.

There's no stopping darius!

Well, it turns out

There was one way to stop

Darius!

And that's straight snatching up

All 51 extremely weird inches of

Him.

I guess pride goeth before

The fall, and aggressive

Commodification goeth before

The jumbo jackrabbit jacking.

And the disappearance of this

Absolute monstrosity was not

The only blissfully stupid story

This week.

For a few days, the internet

Lit up with the claim that

Usher tipped vegas strippers

In usher bucks with his face

On them.

Which, on the one hand, is

Iconic, but, on the other hand,

Is f*cking iconic.

And I wouldn't blame the dancers

For being mad about ending

Their night with a thong full of

Usher selfies.

Although, I do have to tell you,

The strip club insists usher

Didn't use fake money to tip

The dancers, adding,

"He converted thousands of

Real dollars to tip them" and

"Usher was a true gentleman."

But to me, that actually makes

This story even better, because

"Usher was a true gentleman" is

Now my favorite thing I've ever

Been legally required to

Clarify.

And then there was this.

We're getting a look at what

Some athletes will wear at

The summer olympics in tokyo.

Ralph lauren unveiled these

Uniforms for team usa.

This ensemble will be worn

During the closing ceremony and,

Okay, I'm just going to

That is a terrible

Outfit.

They look like the cast of

A cbs sci-fi drama that no one's

Ever heard of despite being on

The air for 16 seasons.

Also, why is the u.s. Olympic

Team always outfitted by

Ralph lauren, which has been

Handling it since 2008, and has

Consistently produced sh*t like

This, this, and this... An

Outfit that doesn't scream,

"I'm going to the olympics!"

So much as it screams,

"You think I'm rich now?

Wait till my dad dies!"

I'm just saying, it is a choice

To take a diverse country of



Go with the aesthetic of

The bad guy in every '80s

Frat comedy.

Although to be fair, our olympic

Outfits weren't the only ones

Grabbing attention this week.

Here's the team canada

Uniform.

Okay.

I love it.

You love it?

I do love it.

It's billed as a twist on

The iconic canadian tuxedo.

Okay, that jacket is

Straight garbage.

It looks like jay leno got

Tagged by a street g*ng of

Eight-year-old girls.

And that jacket might look good

On one person.

The problem is, on a group of

Hundreds, they're all going to

Look like a high school

Production of canadian "grease."

Although I will say,

I've always felt it's wrong that

"Canadian tuxedo" refers to

Head-to-toe denim, and not

Formalwear specifically designed

For a fancy moose.

This big boy knows what's up.

Blast me, king.

And if that wasn't already fun

Enough news from canada this

Week, there was also this:

This is a member of the

Canadian parliament who was

Caught naked...

Naked on a virtual

House of commons meeting.

He has since apologized in an

Saying he had been changing into

His work clothes after going for

A jog.

Quite why he did that in front

Of a camera, I mean, who knows.

Now, obviously,

I feel terrible for that man.

It was clearly a complete

Accident.

Although I will say, he's got

Absolutely nothing to be

Ashamed of there.

He's keepin' tight and he's

Keepin' it right.

He's maintaining while the rest

Of us are gaining.

A jog?

In the middle of the work day?

That is hot male behavior.

I haven't taken a jog

In the middle of a work day

Since september 11th.

And by the way, if you think he

Looks good with his clothes off,

Wait til you see him with

Clothes on.

Hey, canada!

Check your carbon emissions,

Because there's a massive smoke

Stack in your parliament.

And I have to say, it's truly

Delightful watching a news

Package that's just "timid man

Politely giggles over photo of

Naked pale guy," or as it's more

"Hard core

Canadian p*rn."

And as if this story couldn't

Get any better, just watch his

Fellow m.p. Address the incident

In the most exceedingly tactful

Way.

We've seen a member during

Question period improperly

Dressed... That is, unclothed.

We have seen that the member was

In very good shape, but I think

That this member should be

Reminded of what is appropriate

And to control his camera.

Thank you.

That is an aggressively

Canadian response.

Say what you will about

Canadians... And these outfits

Say more than anyone ever could

...but one thing you can't

Accuse them of is being

Impolite, even in the face of

Unrequested nudity.

And while I am really sorry that

Happened to this guy, who seems

To have weathered the incident

With good grace, I honestly

Needed this story this week.

And I apologize for the fact

That despite this being entirely

Complimentary, "the daily beast"

Will undeniably write it up

Tomorrow with the headline,

"John oliver eviscerates this

Canadian's hog."

The point is, a bunch of fun,

Weird sh*t happened this week!

And we wanted to give you a

Chance to laugh at it, to give

You just a breath at the end of

A truly demoralizing week.

So if you needed a break,

I really hope that gave you one.

And if you didn't need a break,

Maybe ask yourself why the f*ck

Not, and think about that

For a while.

Because the fact is, it's once

Again made painfully clear that

We... And when I say "we," I

Mean white america... Have to

Stop talking about fundamental

Change in policing and actually

Make it happen.

Because this cycle of state

v*olence against black lives

Has to be stopped.

So put on your shoes, leave the

House, march in the streets, and

Demand a better country, one in

Which black people are treated

With fundamental respect, and

One in which the big news of

The week genuinely could be

"Impractically large rabbit goes

Missing."

And now, this.

And now...

The commercials on fox news in

The middle of the night of

Exactly who they are talking to.

Men over 45, do you have a

Frequent, urgent need to

Urinate?

Reduce your urges to earn

Speetwo urinate.

Guys, are you done with 2020?

All the baggage that came along

With it?

Guys, what happened to you?

You can't get it back.

As we get older, we all lose

Testosterone.

Guys, got hair loss?

Guys, tired of frequent

Nighttime bathroom trips?

Guys, it's that time and

Nothing is happening.

Guys.

Guys.

Guys, waking up over and over

To urinate is not okay.

Moving on.

Our main story tonight concerns

Bankruptcy.

You probably know it from being

The worst possible outcome on

"Wheel of fortune," aside from

Hugging pat sajak or winning a

Mitsubishi mirage.

Or maybe you're familiar with it

Through ads for bankruptcy

Lawyers like this:

Once upon a time there was

A fair maiden named mary.

Mary lived a storybook life

Until her prince charming was

Smashed from his steed, then her

Castle came under siege and the

Cries of as*ault were vexing.

Her champion had been gravely

Injured and a pox had fallen

Upon her house.

I've helped thousands of

Clients like mary and I could

Probably help you get a fresh

Start.

Wow, there is a lot

There, from an unmarked van

Fully "mean girls" -ing mary's

Husband, to him surviving with

What appear to be surprisingly

Minor injuries, to that lawyer

Claiming he's helped thousands

Of clients like mary.

Meaning that in the chattanooga

Area, there are thousands of

Women who've watched their

Husband get sh*t stomped by

A cargo van, and take what can

Only be described as a gatling

g*n of mail to the face.

If that is true, they've got

A way more lucrative lawsuit

Than a bankruptcy case.

What that ad is promising is

Attractive, though: a fresh

Start from your debts.

And it's something a lot of

People have turned to.

Over the past decade, the number

Of personal bankruptcies filed

Each year has ranged from about



And many worry that once

The current pandemic assistance

Stops, more and more will need

The type of help that bankruptcy

Offers.

Because very basically,

Bankruptcy is a legal procedure

By which those who are deeply

Weighted down by

Debts can get out from

Underneath them and then start

Anew.

Which is good!

Although it comes with some

Consequences... It'll be on your

Credit report, and there tends

To be some social stigma

Attached, as exemplified in this

Clip from "shark t*nk."

Jeff, I understand your

Decision to go bankrupt,

Cleans the slate, but it carries

A weight.

You'll never have a bank,

Jeff.

Ever.

To me, you're radioactive.

There are a million people

Out there who are going to get

The wrong message from what

You're saying.

No, they're getting the right

Message.

They should not go bankrupt.

Well, hold on.

Because that is a terrible

Lesson.

And you, kevin o'leary, are

Hardly one to be calling

Someone's decisions

"Radioactive," given you

Invested in companies with

Business models like:

Put your face on a potato,

Look like an idiot

On a unicycle, and toygaroo,

The netflix for toys, whose

Mascot always looked like it was

Searching for a place to take a

sh*t.

And which, interestingly, filed

For f*cking bankruptcy.

So I'm sorry, kevin, but to me,

That makes you radioactive.

I'm out!

But that broad-brush

Stigmatization is common and

Completely misguided.

Because bankruptcy is not solely

Caused by bad decisions, it's

Often caused by bad luck:

Unavoidable challenges

Like job loss, divorce, surprise

Medical bills, or perhaps even

...y'know... A once in a century

Global pandemic.

And despite bankruptcy often

Being characterized as an

"Easy out," the way it's

Currently set up, it's sometimes

Not an "out" at all, as this

Couple learned.

Before you're done and over

With, you're definitely looking

To spend at least $1,000 to

File... To claim bankruptcy.

We don't have $1,000.

Are you telling me you can't

Afford...

We can't afford to go

Bankrupt.

We can't, correct.

Yet, we're $50,000 in debt.

So, what do we do?

Yeah, a lot of people

Can't afford to go bankrupt.

A true sentence that

Fundamentally doesn't make

Sense, like "sonic drive-ins

Advertise in cities where there

Are no sonic locations" or

The sequel to "now you see me"

Wasn't called "now you don't,"

Or elon musk doesn't f*ck his

Cars.

I mean, come on, that's the

Face of a man who's at the very

Least measured the circumference

Of the charging point.

So given all that, tonight,

Let's take a look at personal

Bankruptcy.

Our modern bankruptcy code

Was enacted in 1978...

Interestingly, around the same

Time that the credit card

Industry began to enjoy a period

Of steady deregulation.

Which worked out very well for

Them, because they marketed

Themselves aggressively, and

During this time, consumer debt

Began to sharply rise.

And what the industry clearly

Wanted was people stuck in a

Lucrative cycle of minimum

Payments, late fees, and

Interest hikes.

What they didn't want spoiling

That was people cutting that

Cycle short through bankruptcy.

So by the late '90s,

They were lobbying senators like

Chuck grassley hard to curb what

They framed as "bankruptcy

Abuse."

Basically arguing that people

Who can "afford" to pay were

Using bankruptcy as an easy way

To not pay bills and pass the

Costs on to the rest of us.

And grassley seemed more than

Happy to repeat some of their

Talking points.

There's not a single family

In america... Low income or high

Income... That is not paying

Part of the cost of bankruptcy.

$40 Billion cost to the economy

Every year.

$400 For a family of four.

Wow.

The average family pays $400

A year because deadbeats

Abuse the system.

Grassley dropped that shocking

"Fact" with the confidence of

A man who'd later tweet from his

Government account,

"Windsor heights dairy queen is

Good place for u kno what."

The thing is, that $400 figure

Is total nonsense.

No one knows for certain where

It came from, and despite it

Turning out to be demonstrably

False, the credit card industry

Pushed it hard, to create

A narrative of widespread

Irresponsibility and abuse

Around bankruptcy.

But it's a little hard to take

Moral grandstanding from credit

Card companies, who were all

Too happy to help people get

Into significant debt, even if

They had just declared

Bankruptcy.

Barely out of bankruptcy

Court, joan burnett opened her

The

Chance for a shiny new credit

Card, the first of many.

It looked like an easy $3,000

And I think I hung on to it for

A day, and then I thought, "oh

No.

You're not going to be that

Crazy."

The banks are giving out

Credit with a reckless disregard

For consumers' ability to

Repay.

Yeah, that max weinberg

Impersonator is right.

And so, by the way, was joan,

Whose self-restraint I really

Admire.

Imagine the expenditures I could

Have avoided by simply saying,

"No, john, you're not going to

Be that crazy, ask yourself,

Do you really need this item?"

But years of lobbying by the

Credit card and banking industry

Ultimately resulted

In a hugely significant 2005

"Bankruptcy reform" bill,

Which made it far more

Complicated to file for

Bankruptcy than it previously

Had been... Which in turn made

It far more costly, which meant

Many people ended up in a

Situation where they couldn't

Afford to go bankrupt.

And to understand our current

System, a key thing to know is

There is not one main kind of

Personal bankruptcy, there are

Chapter 7 and

Chapter 13.

Chapter 7 is what you commonly

Think of as bankruptcy.

Your debts are mostly wiped out.

And while you can hold onto a

Few essential assets below a

Certain threshold, the rest can

Then be sold to pay off

Your creditors.

It takes a few months to

Complete, but then you get your

Chance at a "fresh start."

Chapter 13, however, is

Different.

That is more of a reorganization

Of debt.

Basically, your finances get

Examined to work out how much

You can afford to pay into a

Repayment plan for three to five

Years.

And if you make all the payments

In that plan, at the end of it,

Your debts do get discharged.

And this has its benefits... You

Don't have to give up assets

Like a house or a car.

But... And this is a huge "but"

...if you miss even one payment,

Your case could be dismissed and

The whole deal is off.

You're essentially back at

Square one.

And the uncomfortable fact is,

This happens in most chapter 13

Cases, because only about a

Third actually make it

All the way to discharge.

And chapter 13 is actually

Much more expensive to file.

Because while attorneys charge,

On average, about $1300 to file

Chapter 7, for chapter 13, they

Generally charge about $3800.

So you might be thinking, if

Chapter 13 is more costly,

More difficult, and less likely

To get you a genuinely fresh

Start, why would anyone

Choose it?

Well, for some, it might be

The right fit... Remember, it

Gives you a chance to keep your

House, which you might need to

Live in, and your car, which you

Might need to work.

But for many, many more, chapter



Times as much in the long term

...can actually seem like the

Better financial option when

You file.

Because chapter 7 generally

Requires you to pay lawyers up

Front.

Whereas chapter 13 can be

Different, as law firms can be

Eager to point out.

Is debt constantly on your

Mind?

Are you looking to get a fresh

Start financially?

Then call the bankruptcy

Attorneys at wootton & wootton.

We even offer a no money down

Chapter 13 plan.

Okay, first, get the

f*ck out of my void, wootton!

I know I don't technically own

The concept of sad, white

Emptiness... Jared leto's got

The market covered on that one.

But I will be damned if I let

This adult who looks like he

Just made a wish to be big steal

My whole vibe.

But the point is, if you're

Already in a bad spot with your

Finances... Which you probably

Are, if you're considering

Bankruptcy... "No money up

Front" might not just sound

Good, it might be your only

Option.

The worry is that some lawyers

Guide their clients to

The more expensive chapter 13,

When they'd actually be far

Better served with chapter 7.

And if you know anything about

America, it won't surprise you

That would researchers ran an

Academic study, they found that

Attorneys were more likely to

Offer a chapter chapter 13

Bankruptcy to black people

Rather than white people.

Putting aside the question of

Whether the researchers plucked

Reggie and leticia from the

Hopefully not offensively so

Black names, the findings

Explained that the odds of black

Debtors choosing chapter 13

Instead of chapter 7

Were more than twice as high as

White debtors with a similar

Profile.

So even bankruptcy

Discriminates against

Black people.

Which is, coincidentally, the

Cover story on this month's

Issue of "yeah, no sh*t"

Magazine.

And the fact that people are

Often pushed into the form of

Bankruptcy with far less

Successful outcomes means that

They can end up having to file

Bankruptcy again down the line.

And knowing that makes it a

Little hard to see financial

Experts like suze orman broadly

Frame repeated filing as a moral

Failing.

Most people who claim

Bankruptcy once claim it twice.

So if you are claiming

Bankruptcy, you have got to

Learn.

Because if you get yourself into

That situation again, if you go

Out and you rack up all this

Credit card debt and all this

Stuff again, and you have to

Claim bankruptcy again, then I

Say, shame on you.

Wow.

Suze is offering repeat

Bankruptcy filers the

"Shame on you" normally reserved

For dogs who peed on the carpet

And nosy pharmacists in

"Magnolia" who've asked

Julianne moore one too many

Questions.

"I have sickness all around me

And you f*cking ask me my life?

Have you seen death in your bed?

In your house?

Where's your f*cking decency?

And then I'm asked f*cking

Questions.

What's wrong?

You suck my d*ck.

That's what's wrong.

And you, you f*cking call me

"Lady?"

Shame on you.

Shame on you!"

But a few things.

First, experts say orman's claim

That most bankruptcy filers file

Twice is just wrong.

But much more importantly,

Even those who do end up filing

A second time, often do so

Due to factors that have nothing

To do with recklessness... Like,

For instance, getting a

Chapter 13 bankruptcy that

Wasn't right for them.

And there's something else that

Can significantly limit the help

Bankruptcy can provide...

Because there are whole

Categories of "non-dischargeable

Debts"... Debts that even

Bankruptcy can't get rid of.

You typically can't wipe out

Debt from criminal penalties,

Taxes, or child support through

Bankruptcy... And there's

Another, massive category, as

This woman learned.



Suleymanova graduated with a

Masters from new york university

In 2008 during the depths of the

Great recession.

Jobless, she quickly defaulted

On her $80,000 student loan

Bill.

Oh, well, I'll just file for

Bankruptcy like everyone else is

Doing, ha-ha-ha.

And then you realize...

No.

The only way to get away from

Your student loan debt is to

Die.

Yeah.

And to communicate just how bad

Student loan debt is as a

Generational dead weight on

Millennials, I guarantee you

Anyone with student loans

Watching this heard "$80,000

And thought "oh, I

Dunno, I've heard worse."

Because, yeah, she could have

Bought this entire three

Bedroom, two bathroom house

In indianapolis, but who really

Needs a place to live when you

Have a framed 8.5 x 11 piece of

Paper with your name on it?

That can, just like a house,

Keep you safe from the rain.

And if all that weren't bad

Enough, our current system adds

Insult to injury through

Mandatory credit counseling

Courses.

Which can be exactly as

Patronizing as they sound.

Even bankruptcy judges have

Called them "inane" and "a

Procedural hurdle without value

Or consequence."

With one even noting a course

Referred participants "to the

Local library for resources on

Bankruptcy."

And recommended they "seek a job

Making higher wages" and I'm

Sure they'd never thought of

Doing that before it was

Very cleverly pointed out to

Them.

And if it seems these courses

May have limited value,

One we found online even seemed

To reluctantly acknowledge that

Fact.

Your attorney may have gone

Over your particular situation

With you in their office

Already.

Perhaps they explained why

Credit counseling will not work

For you.

Many debtors therefore believe

That this mandatory credit

Counseling exercise is

Pointless.

We hope instead you take a more

Positive view of this mandatory

Course.

Oh, you hope so,

Do you?

That's basically an admission

That it's a waste of time.

Although, quick question, why is

The attorney there cartoon me?

He's wearing my glasses.

He has my bangs.

He's negging an unwilling

Civilian while waving around

A boring amount of paperwork.

The guy is more me than I am.

But while at best, an

Objectively hunky cartoon

Lecturing you on your finances

Is annoying... At worst, it can

Be actively insulting.

Because the assumption in these

Courses is that you're in this

Position due to reckless

Personal behavior.

But imagine how that argument

Feels if you... Like this woman

...went bankrupt after having to

Leave your job to take care of

Your son, who d*ed from

Cystic fibrosis.

In september, we sat down

To take the credit counseling

Course and it was sort of a slap

In the face, honestly.

And we have not yet finished

That course.

We logged off and needed to walk

Away from it for a little

While.

And we'll

Need to do it again after we

Actually go through the filing

Process and meet with the judge.

It's a requirement after you

File, as well, so that you can,

I guess, get an idea of how to

Not do the same thing again in

The future.

So.

Which is an incredibly hurtful

Idea that I'm not looking

Forward to.

No, of course you're

Not.

Because having a course suggest

There's a way not to have your

Child die again in the future is

A f*cking insult.

And it's terrible that she not

Only had to go through that,

But then had to rehash it in the

Senate in an attempt to get that

Requirement changed... Which, by

The way, it wasn't.

And the truth is, so much of

What is wrong with our current

Bankruptcy system stems from

That 2005 law that I mentioned

Earlier.

Expanding the

Non-dischargeability of

Student loan debt?

That was in there.

The mandatory credit counseling

Classes?

That was in there, too.

The law also made bankruptcy

Harder to complete, adding over

A dozen ways someone could make

A technical error and be

Dismissed.

It was a huge win for

The credit card companies.

And for all the assurances

From grassley and others that it

Would target high-income people

Abusing the system without

Hurting those of lesser means,

After it passed, bankruptcy

Filings dropped

Disproportionately in poorer

Neighborhoods, with filings

There decreasing 32% more than

In rich ones.

Showing that as always, when

Things are designed to become

Harder for everyone, for the

Rich, they just become a bit

More expensive, and for the

Poor, they become basically

Impossible.

So what can we do here?

Well, ideally, the people

Responsible for that 2005 law

Woul acknowledge that our

System badly needs fixing.

And coincidentally, one of the

Most prominent backers of that

Law is actually the f*cking

President now.

Joe biden is from delaware,

Home to some of the biggest

Credit card companies.

And his support was crucial

In getting the 2005 law passed.

And it's not like he wasn't

Warned it could lead to trouble

...when it was being debated,

Elizabeth warren... Then a

Harvard law professor studying

Bankruptcy... Testified about

How medical debt ruins people's

Lives, and this bill could

Significantly hinder their one

Remaining chance to get out from

Underneath it.

And joe biden kept shifting

Focus back to the poor creditors

Who wouldn't get their money.

Until we fix the broken

Health care finance system...

Right.

Those families have to turn

Somewhere and that means now

They turn as a last-ditch effort

To the bankruptcy courts.

Right.

And that means they turn to

Asking the people that they

Borrowed money from to pay for

Their health care costs, right?

We're gonna ask the gas company,

The drug store, the automobile

Dealer to pay for the broken

System?

Okay, but that's not

Really how this works.

It's not like we're living in

Some small town in the 1920s,

Racking up debts to

The corner store for groceries,

The butcher shop for meat, and

The local pharmacy for

Cough drops laced with

Weapons-grade cocaine.

No.

We're living in a world where

Medical debt is out of control,

And people have envelopes rammed

Through their door every day,

Screaming they're pre-approved

For a credit card.

Oh, look!

This one has snoopy on it!

Now the good news is,

Elizabeth warren has proposed

The "consumer bankruptcy reform

Act" which would completely

Overhaul our bankruptcy system,

It would eliminate excessive

Paperwork needed for filing,

Thereby lowering attorney costs.

It'd make student loan debt

Dischargeable, it'd get rid of

The requirement for a credit

Counseling course, and it'd

Combine chapters 7 and 13 into a

New, more flexible chapter 10.

It's a combination that would be

An improvement... Sort of like

Burger king's chicken fries,

A little bit chicken, a little

Bit fries, all in a box that

Looks like I asked my kids to

Draw me from memory.

And while biden has broadly

Expressed support for warren's

Reforms, the fact is, the bill

Is unlikely to pass in its

Entirety... It'd currently need

Ten republicans in the senate

To get on board because

Democrats like joe manchin and

Kyrsten sinema are still in a

Death cult over the filibuster

For some reason.

But the fact is, something big

Needs to happen here.

Because we badly need to get our

Broken bankruptcy system working

Again for people who desperately

Need a lifeline.

And meanwhile, while we wait for

Congress to act, the very least

We can do is offer an

Alternative credit counseling

Course that isn't quite so

Insulting.

Hello there.

I'm the cartoon steam es walk.

If you are watching this video,

Chances are you have hit hard

Times.

Maybe your husband was pancake

By an unmarked cargo man or

Maybe you lost your job due to

The coronavirus and that

Fateful day in 2019 when one bat

f*cked that other bat.

Either way, you are saddled with

Debt right now and you're

Looking for a fresh start.

Thankfully, you have found

Bankruptcy.

Less that is your debt's

Student loans, in which case,

You should think about faking

Your own death because odds are

You are as f*cked as this bat.

Under current thinkers who are,

You are required to complete

This credit counseling course.

And the key thing I'm here to

Tell you if they are two main

Kinds of personal bankruptcy,

Chapter 7, that's the thing you

Think of bankruptcy were

Typically most of your debts can

Be discharged in chapter 13,

Which you might assume works

Similarly, there anyone who has

Been through it knows that it

Doesn't.

And if all this seems needlessly

Confusing, it's because it is.

The whole system is currently

Designed to be so discouraging

That eventually you say f*ck it

And give up.

Are you okay?

So instead of watching a

Condescending series of videos

About how to make a budget, why

Don't we both make better use of

This time and enjoy this video

Of a man feeding a pack of

Raccoons individual hot dogs?

Yes!

Yes!

Yes!

Look, filing for bankruptcy

Will never be as enjoyable as a

Raccoon eating a hotdog.

But at the very least, it should

Be that simple.

Bye.

That's our show.

Thanks so much for watching.

We're off next week,

Back may 2nd.