Obama and Senator MBNA
What will happen to the Bankruptcy Code if Presidential Candidate Obama picks a Vice President who is commonly known as Senator MBNA aka Senator Joe Biden. The Bankruptcy Code was changed in 2005 and Senator Joe Biden was instrumental in the changes to the Bankruptcy laws.
Now, we have a dilemma. At first blush it would appear to be a conflict as Barack Obama's past statements about how he would change the Bankruptcy Code would seem to conflict with his potential decision on his Vice President. In the past, Senator Obama has stated on numerous occasions that he would seek an amendment to the bankruptcy code to allow individuals to cram down their first mortgages on their homesteads, which is now prohibited. However, if Senator Obama picks Senator Joe Biden as his running mate, he may have some questions to answer.
Joe Biden was a staunch supporter of the 2005 Bankruptcy Bill that became law. More importantly, he opposed almost all of the amendments to the Bankruptcy Bill. His reasons for doing so are less than clear. I believe he was under quite a bit of pressure from the Credit Card industry, as he has taken an amazing amount of money from the credit card industry over the years, more than you and I will ever know or be able to prove. Be that as it may, I wonder how much of his crony's influence will be built into the White House fabric if he is chosen as Vice President.
Shockingly, this year both, Biden and Obama, voted for an amendment to the Bankruptcy Code which would allow for the cramdown of first mortgages. However, this bill was dead on arrival and was killed by a Senate vote. It makes you wonder if they knew the bill was dead, why not vote for it. I hate to sound like a naysayer, but these guys are smart and they know how to play politics.
Joe Biden was the guy who stated in a Fox interview that he would not accept the job. Did he really mean it when he said it?????
This post was written by Carmen Dellutri, Esq. Mr. Dellutri is the founder of The Dellutri Law Group, P.A. He is also a founding member of www.bankruptcylawnetwork.com, www.debtlawnetwork.com, www.creditlawnetwork.com, and www.mortgagelawnetwork.com.
