Credit Counseling Requirement for Bankruptcy Filing

When an individual files bankruptcy they are required to take a credit counseling course. Credit counseling must be completed through an agency that is approved by the United States Trustee’s office before any person or business entity will be entitled to file for a Chapter 7 or Chapter 13. The reason this is required is because many individuals discover after they’ve undergone the counseling that they do not need to file bankruptcy, and can get themselves out of debt using an informal repayment plan. While you are required to participate in the counseling programs prior to filing for a bankruptcy, you are not required to use the repayment plan the agency might propose to you. When the bankruptcy case has ended, you are required to attend another counseling session that teaches you about personal finance management. This session is designed to help you from getting into financial difficulties again with effective financial management.

If you’d like to learn more: call us to speak directly with an attorney for a free, no obligation, consultation to see if you qualify for bankruptcy and if it is the right decision for you and your family or your business.

Wessler Law Firm is a small family owned law firm specializing in bankruptcy law since 1982.

228-863-3686

Disclaimer: This article is meant for reference only, and is not intended to be legal advice.

For legal counsel regarding your situation, please consult an attorney licensed in your state.