In 2005 the Bankruptcy Abuse and Prevention Act was passed and along with it came changes and new rules for filing bankruptcy. Some of these changes include having to take two debtor education courses.
Credit Counseling Course
You must take a court-approved credit counseling course before you can proceed with any bankruptcy filing. You can take the credit counseling course online. You can also find an approved agency online by going to the U.S. Justice Department website (www.usdoj.gov). The list does not ensure the quality of the counseling, so choose carefully.
Debtors Education Course
You must also complete a pre-discharge debtor education course before your debts can be discharged. Usually, this course is between 2-4 hours long and provides additional information on how to stay out of debt. One of the purposes of this course is to teach you how to manage your money better and establish better financial habits. This course can also be taken online. You can find a list of court-approved agencies at debt-foundation.org.
If you are overwhelmed in debt and looking for a fresh financial start, contact a Hidalgo County bankruptcy attorney.