The new laws about personal bankruptcy have become more difficult for a common person. The reason behind this is many case of personal bankruptcy comes in front with a fraud case. So government established new laws about personal bankruptcy. Actually there are two types of bankruptcy called chapter 7 bankruptcies and chapter 13 bankruptcies. In the case of chapter 7 bankruptcy, if a person fails to pay off credit card bills and he has true reasons behind this, then his debt may be waved off. In the second case means in chapter 13 payment plans, the person has to pay its debt in three to five to get out off credit card debt. While according to new laws, it has become very difficult to qualify for chapter 7 bankruptcies as it becomes very easy for individuals. The new laws emphasize about chapter 13 bankruptcy and most of people will lie in this category.