The big 2005 change in the bankruptcy laws included counseling requirements. People filing for bankruptcy now must complete credit counseling from a government approved organization within 180 days before filing. They must also complete a debtor education course before their bankruptcy discharge will be granted. Both courses can be taken in person, on the phone or online. Each course costs around $35 and the fee can be waived if you qualify for a waiver.
The first course includes an evaluation of your personal financial situation, a discussion of alternatives to bankruptcy and a personal budget plan. The second course includes information on developing a budget, managing money, using credit wisely and other related resources.
You do not have to satisfy the counseling requirement if you are in the military on active duty, you are incapacitated, or you have a disability that prevents you from participating.
Call or email Madison Bankruptcy Attorney Zeshan Usman for a free consultation.