The primary purpose of the corresponding counseling and debtor education requirements related to filing a bankruptcy case is to establish whether prospective filers have no other options except filing bankruptcy. Secondarily, these mandatory courses hopefully will reduce the chance that the debtor will yet again file a bankruptcy case in the future.

Typically, a prospective bankruptcy filer must complete a credit counseling course within 180 days of filing a bankruptcy petition. Once a case is filed, yet another distinct course on debt management must be completed before a debtor is eligible to receive a case discharge. Please look for a future blog that will discuss these post-filing credit counseling requirements.

Credit counseling classes are available in-person, online, even over the telephone. Because any approved counseling organization is required to provide services free of charge to persons unable to afford them, any individual filing a bankruptcy case may apply for a waiver of any fee prior to taking the course.

Pre-bankruptcy counseling usually involves the creation of a budget and in-depth review of personal finances, in addition to consideration of bankruptcy alternatives. Once the course is completed, the counseling and education provider will issue an authenticated certificate to be filed with the bankruptcy court.

Anyone may reduce the stress of the difficulties in repaying debts. Contact the experienced Sacramento metropolitan area/Northern California attorneys at the Montefalcon Law Office. Contact us online or schedule a bankruptcy consultation at any of our three conveniently located offices. Telephone our downtown Sacramento office at (916) 444-0440, our South Sacramento office at (916) 399-9944, or our Concord office at (925) 222-5929.