What is bankruptcy credit counseling?

Bankruptcy Credit Counseling is a federally mandated process that individuals must complete before filing for bankruptcy. The counseling session, typically lasting 60 to 90 minutes, provides an in-depth review of one's financial situation, explores potential alternatives to bankruptcy, and assists in devising a personalized budget plan.

How long does credit counseling take for bankruptcy?

The credit counseling organization will provide a certificate once you’ve completed the counseling, and you must file it along with bankruptcy paperwork within 15 days after your bankruptcy filing date. Can I Complete Credit Counseling for Bankruptcy Online? Yes, in fact, most counseling sessions occur online or over the phone or both.

Do you need credit counseling before bankruptcy?

The federal government requires two sessions of credit counseling: pre-filing counseling to kick off the process and pre-discharge counseling before your debts are forgiven. These sessions will help you understand how bankruptcy works, its lasting effects and how to avoid financial risk in the future.