Bankruptcy Threshold Adjustment Act

1. Introduced
2. Committee
3. Floor
4. PassedPresented to President.
5. Law

Latest action

5 Nov 2026Presented to President.

Bankruptcy Threshold Adjustment Act of 2026This bill restores changes that expired in 2024 applicable to debt limits for Subchapter V (small business reorganization) and Chapter 13 (the wage earner's plan) bankruptcies.Specifically, the bill increases the debt limit under Subchapter V from approximately $3.4 million to $7.5 million and increases the cumulative debt limit under Chapter 13 from approximately $2.1 million to $2.75 million.The bill also applies both secured and unsecured debt towards the Chapter 13 limit. (Currently, separate limits apply to secured and unsecured debt under Chapter 13 bankruptcy.)

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