Some Doubt Magnitude of New Bankruptcy Changes.

Washington -- The advent of a new bankruptcy law sparked a surge in bankruptcy filings as consumers realized it would be more difficult to qualify for a quick discharge of their debts.

The bankruptcy reforms that went into effect in October require consumers to obtain credit counseling within six months of filing and take a means test to determine if they are eligible for Chapter 7 or Chapter 13 bankruptcy.

Lines of filers at Bankruptcy Courts nationwide attested to fears that many financially pressed consumers could be forced into Chapter 13 bankruptcy, if they waited too long, and forced to repay a portion of their debts, including unsecured debt, over the next three to five years.

As of Oct. 17, Chapter 7 bankruptcy was no longer available to borrowers with incomes at or above the state median.

Attorney Jason Gold with the Washington law firm of Wiley, Rein & Fielding believes a lot of concerns about the new bankruptcy law are exaggerated. "The new law really won't change things in the long run," Mr. Gold said.

Most filers with substantial equity in their homes will continue to file under Chapter 13. Others with little or no equity will continue to file under Chapter 7, he said. "I don't see how that will change."

He acknowledged that his is a minority view. And he acknowledged ...