Year-to-date Chapter 7 figures in 2006 show 237,578 filings compared with 2004 Chapter 7 filings of 830,014 compiled by LexisNexis CourtLink for the period January 1 to September 15, 2004. The surge in consumer bankruptcy filings began in Q2 2005 before enactment of the new law that put Chapter 7 postings in 2005, 31.7 percent ahead of 2004 figures for the year.

Henry J. Sommer, Esq., editor-in-chief of LexisNexis Collier on Bankruptcy, addresses several angles pertaining to the consumer bankruptcy law from more than 35 years as a consumer bankruptcy attorney:

Chapter 7 and 13 bankruptcy filings are slowly rising since enactment of the law, however, at a much lower pace than in previous years likely due to cost to file; complications with paperwork; the surge in filings prior to the law; and a misperception that Chapter 7 is no longer available. Attorneys are trying to issue appropriate messaging that helps set the record straight.

The means test has affected virtually no cases with less than 1 percent of Chapter 7 bankruptcy cases found to be abusive. Proponents of the law implemented the means test as a way to ensure repayment of debt. Contrary to popular belief by law proponents, the majority of those who file bankruptcy do not have ability to repay debt.

Many bankruptcy attorneys still struggle to manage the law's complexity, i.e. documents, calculations and intricacies of  the law.

What's happening to the people who can't afford to repay their debts or file bankruptcy? Many are going underground; not  using banks; asking for cash payments to protect wages and in general, suffering from the stress of having debts they cannot pay.

Credit counseling remains a key problem area for the new law, and many are watching how it unfolds. There are language issues; cost vs. free; expected IRS interest in counselors; and down the road there could be capacity issues with fewer counselors than filers.

Many factors will contribute to more personal bankruptcies, including adjustable rate mortgages kicking in and foreclosures on homes, rising interest rates, unemployment, lack of health insurance and increased premiums, and increased energy prices