What is pre-filing credit counseling?
Pre-filing credit counseling is a requirement for individuals who file for Chapter 7 or Chapter 13 bankruptcy. You may pick your own agency or use a referral from your bankruptcy attorney. We recommend working with an NFCC-member agency, and encourage you to consider alternatives to bankruptcy when feasible.
What can a credit counselor do?
Credit counselors offer a variety of services, including everything from providing basic money management advice to setting up a plan to help you pay off debt. In some cases, credit counselors can negotiate lowered interest rates, reduced monthly payments and more with your creditors, which could save you money.
Where can I get a credit counseling certificate?
Only credit counseling organizations and debtor education course providers that have been approved by the U.S. Trustee Program may issue these certificates for filers in all states and territories except for Alabama and North Carolina. Find an approved credit counseling agency or debtor education provider .
When do you need credit counseling and debtor education?
All individual bankrutpcy filers are required to complete pre-bankruptcy credit counseling and pre-discharge debtor education. These may not be provided at the same time. Credit counseling must take place before you file for bankruptcy; debtor education must take place after you file.
How to become a credit counselor in North Carolina?
An entity seeking to become an authorized credit counseling or debtor education provider in Alabama or North Carolina must go through an application process administered by the bankruptcy administrator for that district.
Do you need credit counseling for bankrutpcy bankruptcy?
All individual bankrutpcy filers are required to complete pre-bankruptcy credit counseling and pre-discharge debtor education. These may not be provided at the same time.