What is Credit Counseling in Bankruptcy?

The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA) changed many aspects of the bankruptcy process. One of the new requirements for filing a Chapter 7 or Chapter 13 case is that the debtor must complete a credit counseling course before the petition is filed. Credit counseling courses are offered in person or online. You must also complete an additional class before the court will enter your discharge order.

Credit Counseling pic

It is important to attend a credit counseling course that has been approved by the bankruptcy court. The initial course must be completed within 180 days prior to filing your bankruptcy case. The pre-filing class provides you with an overview of your finances and information regarding alternatives to filing for bankruptcy protection. This class can also help you understand how to create a manageable budget. Once you have taken this class, you will be given a certificate of completion to provide to the bankruptcy court. Most debtors file the certificate at the same time they file their bankruptcy petition.

The post-filing course must be completed before your discharge order will be entered by the court. This class discusses how to manage your debt and provides budgeting tips. The goal of the post-filing course is to help you take full advantage of your fresh financial start and to avoid making the same mistakes that led to your bankruptcy filing. Again, you are required to file your certificate of completion with the court. Failure to file the post-filing credit counseling course certificate within the time allotted by the court can result in your case being dismissed.

For a list of approved credit counseling course providers, visit the United States Trustee’s website at www.usdoj.gov/ust or call for help.

If you are interested in learning more about how a bankruptcy filing will impact your debt, contact Faro Crowder, PA to schedule an appointment.

Contact a Brevard County Bankruptcy Attorney at Faro & Crowder, PA

If you are interested in learning more about how a bankruptcy filing will impact your debt, contact Faro Crowder, PA to schedule an appointment. We are located in Melbourne, Florida on Sarno Road and serve residents and businesses of the Space Coast and Brevard County.

    Services Areas

    We provide services throughout Central Florida including: Melbourne, Titusville, Palm Bay, Merritt Island, Cocoa, Cocoa Beach, Satellite Beach, West Melbourne, Cape Canaveral, Viera and Eau Gallie.

    Get In Touch with Faro & Crowder, PA

    Faro & Crowder, PA
    Phone: 321-784-8158
    1801 N. Sarno Road, Suite 01
    Melbourne, FL 32935

    The information on this blog or any blog is not intended as, and should not be taken as, legal advice.

    Leave a Reply

    Your email address will not be published. Required fields are marked *

    * Copy This Password *

    * Type Or Paste Password Here *

      Contact Us For A Free Consultation

      Font size