What You Should Know About the Mandatory Credit Counceling Effingham IL Residents Must Have Before Filing Bankruptcy

With only a few exceptions, everyone who files for personal bankruptcy must attend two credit counseling sessions. The first session must take place before the documents are filed with the court. The second takes place near the end of the process and must be completed before a bankruptcy will be discharged.

Your bankruptcy attorney will likely discuss these mandatory sessions with you at your initial consultation. However, your attorney may even refer you to a counselor. During the first session, you will learn about the alternatives to bankruptcy. Your counselor will evaluate your finances and help you determine whether filing bankruptcy is the best way to resolve your financial problems. The counselor may make a recommendation that will be submitted to the judge with your certificate of completion. There is a fee for the initial counseling but it may be waived if you can’t afford to pay.

If, after your initial counseling, you still want to file for bankruptcy protection, can help you file the required documents with the court and represent you in the meeting with your creditors. It is important to understand the costs of filing and your attorney should discuss all of the fees with you so you aren’t surprised by a bill when you can least afford to pay it. Your attorney will help you determine the best timing to file so you can save as much money as possible and make the most impact on your finances with your bankruptcy filing.

The second Credit Counceling Effingham IL bankruptcy filers have to participate in will provide valuable information about how to maintain your finances after your case is discharged. Whether you are filing bankruptcy due to excessive medical debt or because you didn’t use your credit cards responsibly, you have to participate in this session to complete your bankruptcy. Regardless of the reason you are filing for debt relief, you are likely to gain valuable information in this session. The counselor will discuss budgeting and how to manage your debt when you are able to get new credit. The certificate of completion becomes part of your file.

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