As we approach 2025, the Consumer Bankruptcy Reform Act (CBRA) stands as a crucial legislative proposal aimed at overhauling U.S. bankruptcy laws. Introduced by Senator Elizabeth Warren and Representative Jerrold Nadler in December 2020.  It seeks to consolidate Chapters 7 and 13 into a new, streamlined Chapter 10. This proposed change aims to simplify the bankruptcy filing process, making it more accessible for individuals.

The CBRA also addresses issues within the current bankruptcy system, such as discharging of student loan debt. At present, federal student loans are not dischargeable in bankruptcy, despite existing loan forgiveness programs. The act would provide substantial financial relief to debtors, especially younger Americans burdened by educational loans.

Despite its introduction and support from key figures, the CBRA has encountered obstacles during the legislative process. Although it has been reintroduced in subsequent Congressional sessions, recent updates do not suggest a swift adoption. Shifting political dynamics and broader economic changes since 2020 contribute to the uncertainty surrounding its future.