One thing you will find out when you talk to a Chapter 7 bankruptcy lawyer is that you must take two courses in credit counseling if you file for this bankruptcy. These two courses are not optional, and you cannot receive a discharge on your case without taking them. There are several things you should understand about these courses, though, and here are the primary things you should know.
The Timing of Taking the Courses
As mentioned, you must take two courses if you want to proceed with a Chapter 7 bankruptcy case. The timing of the courses is crucial, and your lawyer will explain this to you when you meet with him or her. You must time the first course according to your filing date. You must take it before filing, but you cannot take it longer than six months before you file. You must file within six months of the completion of the class.
The second course is something you must take after you file all the documents, but before you can get a discharge. Your lawyer will probably recommend completing it around the time you attend your bankruptcy hearing.
Where to Find the Courses and How to Take Them
You may be tempted to look for courses on your own, but you should not do this. Instead, use the courses that your lawyer recommends to you. These will be courses that are approved in your state, and you will have the flexibility of choosing where you take them. You can sit inside a classroom if you prefer, or you can complete them online.
What the Courses Teach You
Each required course teaches something different. The first class helps you discover more about bankruptcy and your financial situation. It will help you find out if you really need to use bankruptcy, or if you would benefit more from an alternative option.
The second course is highly educational, and you should pay close attention to what you learn during it. The second one teaches you hands-on skills with money management. It will help you learn how to set up a budget, ways to save money on expenses, and how to manage your finances. The purpose is to help you stay out of debt in the future.
If you plan on filing for Chapter 7, talk to your lawyer about the credit counseling course requirements to learn more. Your lawyer can explain this requirement to you as well as other requirements for using Chapter 7 bankruptcy to get out of debt.