For consumers considering bankruptcy protection, you may be unaware of the credit counseling requirement needed in order to file your petition. There is also a financial management courses that are required in order for debts to be successfully discharged. Many may not be fully aware of the second course requirement since it is different from the credit counseling requirement, or some assume they are the same course when they are in fact two different elements.
Most of the time consumers hear about the credit counseling courses that need to be completed when you file. While this is true, some get confused when they learn about the second course; financial management. The second course has other names it is known as including budget counseling and pre-discharge counseling. After you file bankruptcy, usually within 45 days of the creditors meeting, debtors are required to complete the financial management course. Keep in mind, if you file a joint petition (as a married couple), both spouses may be required to complete the course.
Also referred to as the debtor financial management course, it provides consumers with pertinent information to help them make better informed decisions concerning their finances in the future. This includes how to proceed forward after bankruptcy, maintaining financial control, and how to achieve goals you may have for future purchases.
The second course is a mandatory requirement; meaning, you may not receive a discharge from debts unless a certificate of completion is presented. The course is about 90 minutes long and is offered through approved agencies via phone, mail or online.