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Bankruptcy Threshold Adjustment Act

9/9/2026, 7:41 PM

Summary of Bill HR 7730

The bill titled "To amend title 11, United States Code, to modify certain bankruptcy eligibility requirements, and for other purposes" was introduced in the 119th Congress on February 26, 2026, as H.R. 7730. The bill aims to amend specific bankruptcy eligibility requirements outlined in the United States Code. For full details and provisions, please refer to the official PDF version of the bill.

Congressional Summary of HR 7730

Bankruptcy Threshold Adjustment Act of 2026

This 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.)

Current Status of Bill HR 7730

Bill HR 7730 is currently in the status of Bill Introduced since February 26, 2026. Bill HR 7730 was introduced during Congress 119 and was introduced to the House on February 26, 2026.  Bill HR 7730's most recent activity was Placed on the Union Calendar, Calendar No. 684. as of August 27, 2026

Bipartisan Support of Bill HR 7730

Total Number of Sponsors
1
Democrat Sponsors
0
Republican Sponsors
1
Unaffiliated Sponsors
0
Total Number of Cosponsors
14
Democrat Cosponsors
8
Republican Cosponsors
6
Unaffiliated Cosponsors
0

Policy Area and Potential Impact of Bill HR 7730

Primary Policy Focus

Finance and Financial Sector

Alternate Title(s) of Bill HR 7730

To amend title 11, United States Code, to modify certain bankruptcy eligibility requirements, and for other purposes.
To amend title 11, United States Code, to modify certain bankruptcy eligibility requirements, and for other purposes.

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