Credit Counselling

Prior to filing for either Chapter 7 or Chapter 13 bankruptcy, an individual must complete a credit counseling session. The session must be completed within 180 days of filing and can be done in person, over the telephone or through the internet. The average cost of the credit counseling session is $50.00 per individual or per household.

During the credit counseling session, the individual will be required to provide specific information regarding income, expenses, assets and liabilities. The counseling will cover possible solutions to common financial problems and provide solid information from which the individual can make an educated decision. In most cases, the person has already determined that filing bankruptcy is the desired choice. However, the credit counseling session is mandated by the U.S. Bankruptcy Code and thus, must be completed prior to filing.

To be fully prepared for the counseling session, the individual should have a recent pay stub, a list of creditors, and a method by which to pay for the counseling session.