mr. speaker , i rise today in support of this legislation because the current system needs reform to protect those people truly in need of debt relief , while holding accountable those who can repay their debt . 
bankruptcy filings have risen steadily in recent years , an indication that our current system is an ineffective one that discourages consumers from saving and planning responsibly and ultimately is n't good for consumers , families , or a society that values individual responsibility . 
i believe bankruptcy should be a last resort -- one that allows people who need protection to receive it and people who can repay all or some of their debts to do so . 
the system in place now gives incentives to people in trouble and encourages them to steamroll headfirst into chapter 7 liquidation of all their debts , even when they could get back on their feet through a reasonable repayment plan or basic credit counseling . 
while s. 256 is not a perfect bill , i do believe it goes great lengths in addressing the growing problem of bankruptcy in this country . 
i believe there is great misunderstanding about what this bill does and who will be affected . 
only those earning above the median income and who have the ability to pay will be required to pay back their debt . 
however , millionaires who use bankruptcy law as a method of financial planning will no longer be able to buy extravagantly and subsequently have all of their debt written off . 
it is also important to note that many families and small businesses will benefit because of changes to this law . 
bankruptcy costs are passed on to other consumers , and the average family pays hundreds of dollars each year in higher prices . 
additionally , small businesses that might otherwise not be paid for their goods or services will have a better chance of gaining compensation as a result of this bill . 
a very positive aspect of s. 256 is that it makes permanent chapter 12 of the bankruptcy code . 
i , along with other members of congress , have been working for years to make permanent this much-needed source of relief for our family farmers . 
there have been accusations that this bill will be detrimental to the most needy ; in fact , there are a great deal of safeguards . 
s. 256 includes protections ensuring that alimony and child support payments are made . 
i believe single parents and dependent children need our help far more than millionaires who benefit from current bankruptcy laws . 
additionally , families who have exorbitant medical bills they can not afford can still file for chapter 7 , and judges will still have a great deal of discretion when it comes to the issue of means-testing . 
in addition , this legislation will create new disclosure requirements for lending institutions to provide better information to consumers about credit cards and debt . 
this is particularly important for young adults who are bombarded by credit applications and have limited knowledge about the risks that accompany credit card ownership . 
it is important to note that this legislation is only the first step in addressing the bigger problems underlying savings in this country . 
with an over-reliance on credit cards and a lack of saving for retirement , too many americans find themselves on shaky financial ground . 
addressing this problem must be our next goal , and we must encourage more personal responsibility in consumers . 
the bankruptcy abuse prevention and consumer protection act will benefit consumers and provide all americans with better access to credit . 
it helps prevent abuse of the system while providing debt protection to those who truly need it . 
i urge my colleagues to support this legislation . 
