If you're considering bankruptcy, then you probably already know that debtors are required to take a credit counseling course within 180 days of filing bankruptcy and before they can receive their discharge. The credit counseling course will cover basic budgeting topics, how to manage debt and other tips on how to avoid a future bankruptcy - in general it will teach you things you probably already know. As most bankruptcy professionals have tried to stress, most debtors already know that they need to manage their money and avoid debt. They're not filing bankruptcy because they lack this knowledge; usually it's because of a job loss or medical debt.
But since knowing how to financially survive after bankruptcy is important, let's cover a few things that they won't teach you in the credit counseling course:
Disaster Will Strike Again
We don't live in a perfect world, so financial disaster will strike again. A matter of fact, some experts say that a major financial disaster strikes the average person at least once every ten years, so be prepared. One of the ways of preparing is to save cash, keep debt and expenses low and always keep your bankruptcy options on the table.
Our World Works On Debt
So many people need bankruptcy, because so many need debt and they need debt because our world operates on debt. If you want to buy a house, a car or even go to college, the average person needs to go into debt to do it. That's just reality. Keeping that in mind, choose wisely about what you're willing to go into debt for. If you choose wisely, then avoiding bankruptcy may become a lot easier.
Never Sacrifice Your Health Or Future To Pay Debt
While some debt experts will insist that you do EVERYTHING you can to avoid defaulting on debt payments, there are some things you should never sacrifice. Your health and financial future should always come first. This is why bankruptcy allows you to pay for health insurance and keep money in your retirement account while unsecured and even secured creditors go unpaid.