New bankruptcy regulations are about to pass through Congress despite concerns from detractors

• Michelle Boyles was $12,000 in debt to credit card companies, but chose not to file for bankruptcy.
• She and her fiance were recently able to purchase this house in Southwest Boise because she chose to pay off her debt instead.
• Child support, alimony protections Back alimony or child support payments must be paid first.
• Required credit counseling A debtor must undergo credit counseling within 180 days of filing bankruptcy.
• ? A sliding scale charity policy that forgives between 5 percent and 100 percent of the bill, depending on the patient's income.
• "It behooves hospitals to have these kind of arrangements, because we're seeing more patients in need," says Mike Frith, director of business services at Saint Alphonsus.
• If needy patients can't pay, hospitals are forced to raise the rates charged to patients with private health insurance, launching a vicious cycle of spiraling health costs.
• Debtors turn over a portion of their assets and in return their debt is wiped away.
• Boyles spent five years repaying $12,000 in credit card bills she began accumulating as a freshman at Boise State University.
• She supports a bill in Congress that would overhaul the U.S. Bankruptcy Code by making it harder for debtors to use a Chapter 7 filing to wipe away their debts.
• And this year, after seven years of failed attempts, it appears Congress is ready to approve the bill, despite opposition from Democrats and others who say the new law would simply punish poor people without addressing the problems that bring people into bankruptcy.
• For banks and credit card companies, the measure could mean millions of dollars in recovered assets.
• The rest of the Idaho delegation is firmly behind the bankruptcy reform bill.