The point he was trying to make was - before the bankrupcy laws were changed - people who were deep in credit card debt would file bankrupcy, and the CC companies would be screwed out of their debt - which they would then write off. Now, after the change in the bankrupcy laws, where you can't discharge cc debt, the cc companies up their payment schedules and minimums.
The ultimate point was the laws were written to benefit the cc companies, and give them a circuit subsidy.