Heading toward bankruptcy is usually something that most people don't even consider having happen in their lifetime. But statistics today prove differently. The reality of bankruptcy today is that there are increasing numbers of people that are entering the bankruptcy system. The different chapters of bankruptcy (chapter 7, chapter 11, chapter 13) are becoming more and more prevalent today.

Congress was the body of lawmakers that decided that the U.S. bankruptcy laws were in need of uniformity and as such they implemented Federal bankruptcy laws that the states are obligated to conform to. Although each state can have its own set of bankruptcy laws there are some basic statutes mandated by the U.S. government that all must follow. These bankruptcy codes have been put in place to help people relieve themselves from financial burden and to cease engaging in financial self destruction.

At the time of this writing there are currently four different chapters to the bankruptcy code. For example, you may be familiar with the bankruptcy term Chapter 7 bankruptcy. The chapter 7 part is the section of code or the statutes that address the rules and regulations of Chapter 7 bankruptcy.

The different bankruptcy chapters such as the ones mentioned above are the details to the various statutes of the bankruptcy codes (such as chapter 7). Each of the various chapters have their own particular nuances as to how the financial burden is relieved and what procedures must be followed in order for that debt to be relieved. In addition there are also stipulations and regulations set forth that the involved creditors must abide by.

Although the bankruptcy codes were provided for by the U.S. federal government, each state has the right to pass other laws that will work within the framework of the federal statutes on bankruptcy; otherwise the states don't have autonomous power to govern how the overall bankruptcy code functions.

So, even though the individual states cannot change the intent of the Federal bankruptcy laws, each state can however, interpret how the claims must be filed and how the claims are acted upon.

As is the case with statutes, they tend to be somewhat dynamic; meaning they change with additions and deletions to the code over time as amendments are ratified through the body of lawmakers. Because of this dynamic, it is a very good idea for an individual considering bankruptcy as an option to seek the counsel of an attorney who deals in the area of bankruptcy code.

If there is a change to the core bankruptcy laws of the country, it will come from the congress of the United States. For instance, one such change that effected the rules for the filing of chapter 7 bankruptcy. The change to this particular section of the bankruptcy code adds some burden of proof on the part of the filer that they do indeed have met the criteria for the right to file such bankruptcy.

Because of the influx of people entering the bankruptcy system, this type of change to the core bankruptcy statutes was put in place. Now, across all states, if someone is seeking bankruptcy protection under the law; they are required to complete a court appointed financial and bankruptcy counseling session. This was done to help protect the system and creditors from those who just wanted not to pay off their debts.