Hawaii Bankruptcies Spike

On May 9, 2005, I posted a FAQ on the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005. The article stated a spike of bankruptcies might occur because individuals would be trying to beat the October 17, 2005 effective date for many of the provisions of the new bankruptcy law. After October 17, 2005, it will be more difficult for individuals to have their debts discharged in bankruptcy. Yesterday, the Honolulu Star-Bulletin reported that bankruptcy filings spiked in Hawaii in the second quarter of 2005. This is the first quarter after adoption of the new bankruptcy law on April 20, 2005.