consumer bankruptcy filers. In particular, the authors’ data allow them to distinguish between Chapter 7 and Chapter 13 … bankruptcy filings, to observe changes in credit demand and credit supply explicitly, and to differentiate existing and new … credit accounts. The paper has four main findings. First, despite speedy recovery in their risk scores after bankruptcy …

This paper argues that the U.S. bankruptcy reform of 2005 played an important role in the mortgage crisis and the … current recession. When debtors file for bankruptcy, credit card debt and other types of debt are discharged - thus loosening … debtors' budget constraints. Homeowners in financial distress can therefore use bankruptcy to avoid losing their homes, since …

bankruptcy filers. In particular, our data allow us to distinguish between Chapter 7 and Chapter 13 bankruptcy filings, to … after bankruptcy filing, most filers have much reduced access to credit in terms of credit limits, and the impact seems to …). Our results, in contrast to prior studies, thus suggest that the current bankruptcy system does not appear to provide much …

mortgages to the current market value of the property for homeowners in Chapter 7 or Chapter 13 bankruptcy. Strip-down of … mortgages in bankruptcy was proposed as a means of reducing foreclosures during the recent mortgage crisis but was blocked by … lenders. Our goal is to determine whether allowing bankruptcy judges to modify mortgages would have a large adverse impact on …

We build a structural model of Chapter 13 bankruptcy that captures salient features of personal bankruptcy under … Chapter 13. We estimate our model using a novel data set we construct from bankruptcy court dockets recorded in Delaware … 13 outcomes under the restrictions imposed by the bankruptcy law. We use the estimated model to conduct policy …

The key feature of the modern U.S. personal bankruptcy law is to provide debtors a financial fresh start through debt …. In this paper, we test this fresh start argument by providing the first estimate of the effect of personal bankruptcy … the endogenous self-selection of bankruptcy filing and allows for dependence over time for the same household. We find …

This paper provides the first in-depth analysis of the homeownership experience of households in bankruptcy. The … time between bankruptcy filing and foreclosure sale, and the foreclosure sale price. In particular, they follow homeowners … who filed for chapter 13 bankruptcy between 2001 and 2002 in New Castle County, Delaware, through October 2007. They …

Because of the recent surge in U.S. personal defaults, Congress is currently debating bankruptcy reform legislation … previous work, bankruptcy options and production are explicitly taken into account. The authors' findings indicate that means … testing would not improve upon current bankruptcy provisions and, at best, leaves aggregate filings, output, and welfare …

By compiling a novel data set from bankruptcy court dockets recorded in Delaware between 2001 and 2002, the authors … build and estimate a structural model of Chapter 13 bankruptcy. This allows them to quantify how key debtor characteristics …, including whether they are experiencing bankruptcy for the first time, their past-due secured debt at the time of filing, and …